Namibian-German Entrepreneurs Pioneering Carbon-Free Steel Production with Green Hydrogen Innovation
Key Ideas
- Namibian-German entrepreneurs are developing a new smelting technology using green hydrogen to produce carbon-free steel and reduce global emissions.
- The project, funded by a €13.6 million grant, aims to operate on low water usage, utilizing a closed-loop water system and renewable energy sources like solar and wind power.
- The construction phase will create 200 jobs, with plans to employ 50 permanent staff, potentially boosting economic growth and transforming Lodestone mine into a larger operation.
- The product, still without signed clients, targets premium markets like German heavy industry, leveraging carbon-credit trading schemes and expected price premiums due to its exclusive use of renewable energy.
Namibian and German entrepreneurs are working on a groundbreaking project to revolutionize steel production by introducing carbon-free steel using green hydrogen technology. With the steel industry contributing significantly to global emissions, this initiative aims to address climate change impacts. The project, led by HyIron in Namibia, received a substantial grant from the German Federal Ministry to develop a proprietary-sealed rotary kiln technology that produces no waste and operates with minimal water, crucial in drought-prone regions. The plant, set to be fully operational by 2024, focuses on utilizing renewable energy sources like solar and wind power, with plans for 25MW solar and 18MW wind plants. The project also aims to create job opportunities and boost local economic development, particularly for the Lodestone mine. While the product is yet to secure clients, there is interest from German heavy industry for the premium-priced carbon-free steel. HyIron's innovative approach could pave the way for sustainable steel production and market competitiveness. Additionally, a neighboring project on Geluk farm aims to produce ammonia fuel for shipping and rail transport, showcasing diverse green energy initiatives in the region.