German Integrated Steelmaker To Construct New DRI Plant

SEATTLE (Scrap Monster): Germany-based integrated steel producer Salzgitter AG has reached an agreement with the Federal State of Lower Saxony and the City of Wilhelmshaven in conducting a feasibility study for the construction of a direct reduced iron (DRI) plant in Wilhelmshaven.

The study will explore the potentials of building a DRI plant and building the necessary infrastructure for supplying the plant with sufficient raw materials, natural gas and hydrogen. The results of the feasibility study will be available by March 31, 2021 at the latest.

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Commenting on the development, Prof. Dr.-Ing. Heinz Jörg Fuhrmann, CEO, Salzgitter cited it as a concrete step in the company’s efforts to evolve towards low carbon dioxide, hydrogen-based steel production, as outlined in its  SALCOS (SAlzgitter Low CO2 Steelmaking) project.

The proposed facility is expected to have a production capacity of up to 2 million tons of DRI per year, which will be transported by rail to Salzgitter Flachstahl GmbH steelmaking complex.

The partners to the project are Uniper SE-an energy firm and the Rhenus Group- a logistics service provider.