2023-08-09 09:54:54 ET
Swedish metal and hydrogen company H2 Green Steel said Wednesday it signed multi-year agreements with Rio Tinto ( NYSE: RIO ) and Vale ( NYSE: VALE ) for the supply of iron ore pellets from Canada and Brazil.
H2 Green Steel is building a plant in Sweden and plans to make steel by replacing coal with green hydrogen that is produced using fossil-free energy.
The Swedish company will use a production process known as direct reduced iron to cut carbon emissions by up to 1,900 kg/ton of finished steel compared to traditional blast furnaces.
H2 Green Steel also said Rio Tinto ( RIO ) agreed to purchase and on-sell some of the surplus low-carbon iron produced during the ramp-up of its steelmaking capacity.
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H2 Green Steel inks iron ore supply deals with Rio Tinto, Vale