Mitsubishi Heavy Industries to boost Australia’s decarbonisation efforts

05 Oct 2021

Mitsubishi Heavy Industries (MHI) has joined a research group to help Australia decarbonise its industrial sector.

Decarbonising Australia’s heavy industry sector

MHI Australia and Primetals Technologies have joined the Heavy Industry Low-Carbon Transition Cooperative Research Centre (HILT CRC) as key partners. Primetals Technologies is a member of the MHI Group.

CRCs are not-for-profit entity focused on medium to long-term industry-led collaborations. The HILT CRC aims to develop technologies to decarbonise Australia’s heavy industry sector. The Australian Government has awarded A$39 million over 10 years to the CRC. The funding will unlock more than A$175 million in investment from partners around the country.

MHI Australia and Primetals Technologies will share their experience in iron and steel production. The companies will focus on research and development of hydrogen-based direct reduction of iron ore. This includes the novel HYFOR (hydrogen-based fine-ore reduction) technology. Primetals Technologies is trialling this technology in Europe.

The two companies will also contribute funds to the CRC over the next 10 years.

We look forward to contributing to HILT-CRC’s aim to decarbonise Australia’s heavy industry sector with our innovative, low-carbon solutions,’ says Shigeru Nakabayashi, Managing Director, MHI Australia.

Australia has attributes that make it an ideal supplier of clean metallics. These include:

  • large deposits of iron ore
  • potential for green energy
  • dynamic academic and business environment.

A contributor to Australia’s sustainability efforts

MHI Australia is contributing to other sustainable development efforts focusing on energy and decarbonisation. The company is working with H2U on a study for H2U’s Eyre Peninsula Gateway™ project. The project is a greenfield development in South Australia to produce green hydrogen and ammonia. H2U expects the project to start operating in early 2023.

The iron and steel sector is responsible for up to 10% of global greenhouse gas emissions. Switching from coal and coke-based ironmaking processes to hydrogen-based production will help decarbonise the industry.

Deploying these technologies at scale in Australia could move producers up the value chain. It would also allow the country to start exporting low-carbon, direct-reduced iron. This would help Australia meet its obligations under the Paris Agreement.