Vale, Midrex to partner on iron ore briquette project

Vale and Midrex Technologies, Inc. are partnering in a project to use iron ore briquettes in direct reduction plants with the aim of advancing the decarbonization of steelmaking.

The agreement extends a technical cooperation between the two companies. Vale said its proprietary briquetting technology enables the production of high-quality iron ore agglomerates from the low-temperature process using a technological solution of binders, which gives the final product high mechanical strength. The briquettes are a mixture of iron ore and a binder solution, according to Vale, the Brazilian global mining company.

Once the technology has been successfully deployed at Midrex’s facilities, both companies plan to evaluate the creation of a joint venture to exclusively provide briquette technology and facilities to the market.

“This agreement is a recognition by one of the world’s leading suppliers of direct reduction technology of the briquette’s strong potential to decarbonize the global steel industry,” said Eduardo Bartolomeo, CEO of Vale.

Currently, most direct reduction plants use iron ore pellets as a feedstock. Vale’s briquette production process is meant to be an alternative to the pelletizing process with lower production costs, lower investment intensity, and approximately 80% less CO2 emission.

Direct Reduction Iron (DRI) is a key feedstock to produce high-quality steel with fewer impurities in electric arc furnaces (EAFs). DRI can also be used in blast furnaces to supplement and replace iron ore, reducing the need for coke and carbon emissions.

Scrap/DRI feeding ratios typically vary from 70/30 to 10/90, depending on the steel being produced, the melting practice, and the availability of scrap, according to Midrex. In scrap-deficient regions, such as the Middle East and North Africa, the feed can be as much as 90% DRI.

“We are very excited to be working with Vale to find a cost-effective and environmentally friendly solution for using iron ore fines in DR Plants,” said KC Woody, president and CEO of North Carolina-based Midrex. “And the ability to convert DRI fines and other waste streams into a saleable product presents an even greater opportunity.”