Tag Archives: LKAB

HYBRIT partners produce world’s first hydrogen-reduced sponge iron

SSAB, LKAB and Vattenfall say they have now produced the world’s first hydrogen-reduced sponge iron at a pilot scale.

The technological breakthrough in the HYBRIT initiative captures around 90% of emissions in conjunction with steelmaking and is a decisive step on the road to fossil-free steel, the partners say.

The feat from the HYBRIT pilot plant in Luleå, Sweden, showed it is possible to use fossil-free hydrogen gas to reduce iron ore instead of using coal and coke to remove the oxygen. Production has been continuous and of good quality, the companies said, with around 100 t made so far.

This is the first time ever that hydrogen made with fossil-free electricity has been used in the direct reduction of iron ore at a pilot scale, according to the HYBRIT partners. The goal, in principle, is to eliminate carbon dioxide emissions from the steelmaking process by using only fossil-free feedstock and fossil-free energy in all parts of the value chain.

Hydrogen-based reduction is a critical milestone, which paves the way for future fossil-free iron and steelmaking. SSAB, LKAB and Vattenfall intend, through HYBRIT, to create the most efficient value chain from the mine to steel, with the aim of being first to market, in 2026, with fossil-free steel at an industrial scale, they say.

Last year, HYBRIT, a joint initiative of SSAB, LKAB and Vattenfall, began test operations to make hydrogen-reduced sponge iron in the pilot plant built with support from the Swedish Energy Agency. The technology is being constantly developed and the sponge iron that has been successfully made using hydrogen technology is the feedstock for the fossil-free steel of the future, they say.

Jan Moström, President and CEO at LKAB, said: “This is a major breakthrough both for us and for the entire iron and steel industry. LKAB is the future supplier of sponge iron and this is a critical step in the right direction. Progress with HYBRIT enables us to maintain the pace in our transition and, already in 2026, we will begin the switch to industrial-scale production with the first demonstration plant in Gällivare, Sweden. Once LKAB has converted its entire production to sponge iron, we will enable the transition of the steel industry and reduce global emissions by around 35 Mt a year, which corresponds to two thirds of Sweden’s entire emissions. This is the greatest action we can take together for the good of the climate.”

Martin Lindqvist, President and CEO at SSAB, added: “This technological breakthrough is a critical step on the road to fossil-free steel. The potential cannot be underestimated. It means that we can reach climate goals in Sweden and Finland and contribute to reducing emissions across Europe. At the same time, it creates new jobs and export successes. SSAB’s transition means we will reduce carbon dioxide emissions by 10% in Sweden and 7% in Finland. High-strength fossil-free steel will also allow us to help our customers to strengthen their competitiveness. As early as this year, we will deliver minor quantities of steel made using hydrogen-based reduction to customers, and in 2026 we will deliver fossil-free steel at a large scale.”

The hydrogen used in the direct reduction process is generated by electrolysis of water with fossil-free electricity, and can be used immediately or stored for later use, according to the partners. In May, HYBRIT began work on building a pilot-scale hydrogen storage facility adjacent to the direct reduction pilot plant in Luleå.

Anna Borg, President and CEO at Vattenfall, said: “Sweden’s and Vattenfall’s fossil-free electricity is a basic requirement for the low carbon footprint of hydrogen-reduced sponge iron. The breakthrough that we can announce today shows in a very real way how electrification contributes to enabling a fossil-free life within a generation.”

Howden to deliver hydrogen storage compression solution for HYBRIT

Howden says it has been selected to deliver a hydrogen storage compression solution for HYBRIT, the world’s first fossil-free steel plant, in Svartöberget, Sweden.

A joint project between Sweden’s SSAB, LKAB and Vattenfall, HYBRIT is the deployment of a unique pilot project for large-scale hydrogen storage. This initiative leads the development of the world’s first fossil-free value chain for the iron and steel industry, to address renewable hydrogen storage.

Howden has been contracted to supply a high-pressure diaphragm compression package to seamlessly integrate the storage cycle of the hydrogen production. The hydrogen compression includes installation and commissioning of a packaged three stage diaphragm compressor.

The storage facility consists of a 100 cu.m hydrogen storage built in an enclosed rock cavern approximately 30 m below ground. This offers a cost-effective solution, with the necessary pressure required, to store large amounts of energy in the form of hydrogen, Howden said.

The reliability, efficiency and safety delivered by Howden’s compression solution matches with the large-scale hydrogen storage requirements, relative to the storage conditions and the evaluation of the amount of time during which the compression pressure remains at the desired level, it added.

HYBRIT supports the European Union’s Hydrogen Strategy and its ambition to install at least 6 GW of renewable hydrogen electrolysers in the EU by 2024 and at least 40 GW by 2030.

Salah Mahdy, Global Director – Hydrogen at Howden, said: “Our partnership with HYBRIT demonstrates Howden’s capabilities in developing and delivering state-of-art hydrogen compressor solutions, based on our long-standing compression expertise. We have over 100 years of experience in the compression of hydrogen, which is ideally placed to support the transition to a fossil-free energy system.

“We’re thrilled to be working on this ground-breaking project, which has the potential to reduce Sweden’s total carbon dioxide emissions by at least 10%. The steel industry currently accounts for about 7% of the world’s global carbon emissions, so the creation of a zero-emission steel is revolutionary, and may, in the future, help to reduce emissions from iron and steel production worldwide.”

Mikael Nordlander, Head of R&D Portfolio Industry Decarbonisation, Vattenfall, adds: “Fossil-free hydrogen is central to the HYBRIT process. Hydrogen can be produced cost-effectively through the electrolysis of water using fossil-free electricity. The hydrogen produced by the electrolysers can be used immediately or stored for later use. One of the key aspects of our storage facility relies on the hydrogen compression to be deployed in a contamination-free manner. Based on their proven technology, expertise and references, we are delighted to cooperate with Howden on the integration of a reliable compression solution for storage.”

Howden says it is focused on helping customers increase the efficiency and effectiveness of their air and gas handling processes enabling them to make sustainable improvements in their environmental impact. It designs, manufactures and supplies products, solutions and services to customers around the world across highly diversified end-markets and geographies.

LKAB to trial AI-backed XRF drill core logging with help of Minalyze and Sentian

LKAB, Minalyze AB and Sentian say they have joined forces in a consortium to develop the latest technology for scanning drill core.

In March 2020, LKAB started a test with the Minalyzer CS drill core scanner where the goal was to improve the workflow for core logging – ie how the results of exploration drilling are analysed. The test led to a permanent installation in Kiruna (Sweden) and expansion to Malmberget where data from the Minalyzer CS is used to help geological logging of the drill core.

The consortium of LKAB, Minalyze and Sentian are now set to take the use of data to the next level when boreholes in LKAB’s deposits are to be investigated. The new artificial intelligence application being developed by the trio will make the analysis much faster, with the time to evaluate a drill core reduced from weeks to minutes, with increased accuracy.

This could see Minalyze’s X-ray Fluorescence-backed CS scanner analyse LKAB drill core while leveraging Sentain’s industrial artificial intelligence solutions to make real-time decisions relating to drilling and exploration activities.

The technology development driven by the consortium will be a world first, changing the entire industry, the companies say.

Jan-Anders Perdahl, Specialist at LKAB’s Exploration Department, said: “With the collaboration, the core logging takes a big step through machine learning and artificial intelligence. The geologist can, at an early stage, place greater focus on the parts of the core that show chemical or other changes. Opportunities are opened up to gain increased knowledge about ore formation processes and alterations in a completely different way than before. One can also get indications that you are close to mineralisation and where it may be located, and thereby streamline exploration.”

The technological leap will give LKAB’s staff increased competence, increased quality in and efficiency of the work, as well as reduced need for other analysis methods, according to the companies.

Annelie Lundström, CEO of Minalyze AB, said: “We are at an interesting time when the hardware to extract consistently high-resolution data from drill cores is available and we can now take the next step and generate value from data together with our customers. In this collaboration, we will develop algorithms that can map rock layers in so-called lithological logs with very high confidence. This can only be done by combining expertise from all three parties.

“The results from our collaboration will forever change how drill core logging takes place everywhere and will result in a more efficient, non-subjective and consistent process.”

Martin Rugfelt, Sentian CEO, added: “We see great power in the application of modern artificial intelligence to data from the mining industry and there is major potential in further combining our machine learning technology with Minalyze’s unique capabilities in data collection and analysis.”

HYBRIT partners start building underground fossil-free hydrogen storage facility in Luleå

SSAB, LKAB and Vattenfall have commenced building a rock cavern storage facility for fossil-free hydrogen gas on a pilot scale next to the HYBRIT pilot facility for direct reduced iron in Luleå, northern Sweden.

This is an important step in the development of a fossil-free value chain for fossil-free steel, the companies said, with the investment of just over SEK250 million ($29 million) divided equally across the holding companies and the Swedish Energy Agency, which provides support via Industriklivet.

As part of the SSAB, LKAB and Vattenfall joint HYBRIT initiative, Hybrit Development AB is starting the construction of a hydrogen storage facility in Svartöberget to develop the technology for storage.

Fossil-free hydrogen, which will replace coal and coke, is a crucial part of the production technique for fossil-free iron and steel production, where emissions of carbon dioxide will be virtually eliminated, the companies said. Hydrogen can be produced cost effectively through the electrolysis of water using fossil-free electricity. The hydrogen produced by the electrolysers can be used immediately or stored for later use.

Hydrogen storage is predicted to play a very important role in future power and energy balancing, and in large-scale hydrogen production, according to the companies. The storage facility is expected to be operational from 2022-2024.

Andreas Regnell, Head of Strategy at Vattenfall and Chairman of the Board at HYBRIT, said: “We’re really pleased that HYBRIT is continuing to lead the development of efficient production for fossil-free steel, as we’re now also building a pilot storage facility for large-scale fossil-free hydrogen in Luleå.

“Storage provides the opportunity to vary demand for electricity and stabilise the energy system by producing hydrogen when there’s a lot of electricity, for example in windy conditions, and to use stored hydrogen when the electricity system is under strain.”

Martin Pei, Technical Director of SSAB and Board member of HYBRIT, said: “By developing a method for hydrogen storage and securing access to fossil-free electricity, we’re creating a value chain all the way out to customers where everything is fossil-free – from the mine to the electricity and to the finished steel. This is unique.”

The 100 cu.m hydrogen storage is being built in an enclosed rock cavern around 30 m below ground. Building the storage facility underground provides opportunities to ensure the pressure required to store large amounts of energy in the form of hydrogen in a cost-effective way, the companies said.

The technology used is adapted to Scandinavian bedrock conditions and will be further developed to handle the storage of hydrogen.

The storage facility is based on proven technology and the hydrogen is used in the plant’s direct reduction reactor to remove oxygen from iron ore pellets, the companies said. The fossil-free sponge iron resulting from the process is then used as a raw material in the manufacture of fossil-free steel.

Industrialisation of fossil-free steel under the HYBRIT initiative is intended to start with the first demonstration plant, which will be ready in 2026, for the production of 1.3 Mt of fossil-free sponge iron in Gällivare, Sweden. The goal is to expand sponge iron production to a full industrial scale of 2.7 Mt/y by 2030 to be able to supply SSAB, among others, with feedstock for fossil-free steel.

HYBRIT partners choose Gällivare for fossil-free sponge iron demonstration plant

SSAB, LKAB and Vattenfall say they are taking a new, decisive leap forward in their work on HYBRIT, with the trio selecting Gällivare, in northern Sweden, as the location of the first production plant for its fossil-free sponge iron exercise.

Industrialisation is intended to start with the first demonstration plant, which will be ready in 2026, for the production of 1.3 Mt of fossil-free sponge iron in Gällivare. The demonstration plant will be integrated with iron pellet making and is part of LKAB’s transition plan.

The goal is to expand sponge iron production to a full industrial scale of 2.7 Mt by 2030 to be able to supply SSAB, among others, with feedstock for fossil-free steel. The choice of Gällivare for the demo plant was based on a joint assessment of industrial synergies, where proximity to iron ore, logistics, an electricity supply and energy optimisation were important factors, the companies said.

There are many advantages to locating the new sponge iron plant in Gällivare, which is also near LKAB’s mining production and processing plants. Using iron ore pellets that are already warm in the process will save huge amounts of energy, according to the companies. On top of this, 30% of weight will be eliminated from transport since hydrogen gas will be used to remove the oxygen in the iron ore. Gällivare also offers good access to fossil-free electricity from Vattenfall.

Martin Lindqvist, President and CEO at SSAB (centre), said: “We are world leaders in the work to transform the steel industry and are now stepping up the pace. We are doing this for the climate, customers, competitiveness and for employment. That we are now raising ambitions for a completely fossil-free value chain is unique and a message of strength from SSAB and our HYBRIT partners. We are seeing a clear increase in demand for fossil-free steel and it is right to speed up our ground-breaking cooperation.”

Jan Moström, President and CEO at LKAB (left), said the companies are leading the transformation of the iron and steel industry.

“The whole process starts with top quality iron ore in the mine and our transition plan gives strong economies of scale that pave the way for the competitive production of fossil-free steel by our customers,” he said. “This is the greatest thing we can do together for the climate. Once we are ready, we will reduce the global emissions of our customers by 35 Mt a year, which is equivalent to triple the effect of parking all passenger cars in Sweden for good.”

At the same time as announcing the Gällivare demo plant, SSAB and LKAB have agreed to deepen their partnership to create the “most effective fossil-free steel value chain from mine to steel, to customer”, they said.

“We will support and enable each other’s transformation, with Vattenfall an enabler of the huge need for electricity and hydrogen gas,” they said. “On the back of an acceleration of HYBRIT, together with LKAB’s strategy and deeper partnership, SSAB will now explore the prerequisites to convert to fossil-free steel production in Luleå faster than planned.”

The plan to convert its Oxelösund steel works in 2025 remains unchanged, as does its goal to be the first to market, in 2026, with fossil-free steel, SSAB clarified.

Anna Borg (right), President and CEO at Vattenfall, added: “Sweden and HYBRIT have a world-leading position in making fossil-free iron- and steelmaking a reality and the initiative will now be further scaled up. That fossil-free electricity and ground-breaking processes will in principle help to eliminate climate-affecting emissions completely from iron- and steelmaking is a flagship example of Vattenfall’s strategy to enable a fossil-free life within a generation. It is now extra important that the permit processes can deliver at the same pace as fossil-free steelmaking.”

Hybrit Development AB, which is owned by SSAB, LKAB and Vattenfall, is developing the technology to make steel using hydrogen gas instead of coal, which will minimise climate harmful carbon dioxide emissions from production. The HYBRIT pilot plant will be able to make fossil-free sponge iron to make fossil-free steel for prototypes to customers already in 2021.

The partners claim the initiative has the potential to reduce carbon dioxide emissions by 10% in Sweden and 7% in Finland, as well as contribute to cutting steel industry emissions in Europe and globally.

LKAB welcomes more autonomous LHDs at Kiruna ahead of electric machine arrivals

LKAB says it is now running six autonomous LHDs at its Kiruna iron ore mine, in northern Sweden, with battery-powered and cable-electric machines set to arrive at the operation later in the year.

The company has been stepping up its automation efforts at the underground mine, going from three autonomous loaders in November to five in December and, now, six as of this month.

These loaders have come from both Sandvik and Epiroc, with at least three of these being 21 t Sandvik LH621i LHDs and two being 18 t Epiroc Scooptram ST18 LHDs.

“For the time being, the loaders are diesel-powered, but battery-powered Epiroc machines and Sandvik’s larger electric loaders will be delivered this year,” the company said. “Safety and loading capacity will be tested and assessed, so that the vision of a carbon-dioxide-free LKAB can be realised.”

Magnus Lindgren, Production Manager for the remote-control centre at level 1365 in the Kiruna mine, said: “Our operators work in close collaboration with both Sandvik and Epiroc and, thereby, take part in these suppliers’ development. We test the systems and provide feedback, so we can eventually take delivery of a better product.”

LKAB conducts blasting at the mine each night. When the blasting gases have been evacuated and rock stresses have decreased, personnel can access the production area. With remote-control machines, LKAB can load, haul and dump crude ore without having to worry as much about these considerations.

Roger Lärkmo, Engineering Developer at LKAB, added: “Autonomous loading at night is optimal in terms of both safety and work environment, and from a productivity perspective. That doesn’t mean manually-operated machines are a thing of the past; it just means that we have more tools in the toolbox. Many parameters have to be taken into the equation for our loading operations to deliver an even flow of ore to the processing plants.”

This summer, the Konsuln mine will take delivery of its first battery-powered loader, the 14 t ST14 from Epiroc. Epiroc said last month it will also deliver a Minetruck MT42 Battery for use at the main Kiruna iron ore mine for production, and in the Konsuln test mine.

Preparations are now under way for the ST14 Battery’s arrival at Konsuln, from planning of the drifts where batteries will be exchanged, to risk analyses and simulations, LKAB said.

During 2021, three of Sandvik’s larger 625IE electric loaders, which have a 25-t payload capacity, will also be delivered to LKAB in Kiruna. The company took delivery of a “renewed” Sandvik LH625iE electric loader for field testing in 2020.

Lindgren said: “LKAB has been running loaders with electric power cables for more than 20 years, both manually operated and with remote control. Now we are going to test the new generation of electric loaders. These tests will begin in the autumn.”

Anita Oraha Wardi, Project Manager for autonomous, smart and carbon-dioxide-free machines at LKAB, said the company was participating in development work early on, so it can understand and influence performance, loading capacity and, not least, the safety aspects.

“We are going to test to see how battery-driven and electric loaders compare with diesel-powered machines, and how remote-control machines function in comparison with manually-operated loaders,” she said.

“One of several objectives is that operators, regardless of the make or model of the vehicle, should be able to run remote-control vehicles via the same system and in the same production area. Then, we will be approaching a world standard.”

LKAB selects IFS enterprise asset management solution as part of digital transformation plan

LKAB has asked IFS to deliver an enterprise asset management (EAM) solution capable of helping the company set a new world standard for data-driven mining, the enterprise applications company says.

To achieve carbon dioxide-free sponge iron production by 2045, LKAB recently launched one of the largest industrial investment plans in Swedish history.

To reach its productivity and environmental goals, the company has embarked on a holistic digital transformation journey to ensure business process transparency, consolidation and harmonisation of processes and data, as well as access to high-quality insights to drive improved decision making, IFS says.

“Launching a comprehensive evaluation process, LKAB scanned the market for a best-in-class EAM solution that could support its mission-critical mining operations while offering an open architecture for easy integrations,” the company explained. “Another key consideration was to equip its workforce with intuitive, easy-to-use mobile technology to ensure a positive user experience.”

Based on its capabilities in key areas such as maintenance and logistics, as well as its RESTful APIs based on the OData standard and browser-based user interface, the IFS cloud-based solution was selected by LKAB, IFS explains.

“The journey LKAB has embarked on will transform the global iron and steel industry and set new standards for how mines are digitised and managed,” Markus Petäjäniemi, Senior Vice President, Market and Technology, said. “To lead the industry toward more responsible, resource-efficient mining practices, we need the very best technology to make sure our people and assets are working efficiently and safely. IFS is an open solution that will connect to our technological backbone and support our current and future needs.”

Elni Kullmer, IFS Managing Director, Nordics, added: “This is a landmark agreement for IFS and we are honoured to have been chosen by LKAB to help usher in a new era of efficient mining. We have been supporting EAM processes in asset-intensive industries since the 1980s and we are thrilled to be able to bring our experience to bear on this exciting project.”

The IFS solution will be used by some 4,000 LKAB employees working in Sweden, England and Norway, according to the EAM vendor.

ABB ready to demonstrate electrical and automation advances at SUM project

ABB electrification and automation knowledge and solutions are being employed at LKAB’s Sustainable Underground Mining (SUM) project, as the project partners strive towards demonstrating the possibility of developing a mine with zero carbon dioxide emissions and relative productivity increases of 50%.

The company has provided electrification, connected control and operations management systems, high-visualisation and mobile operator workplaces as part of this project, which also involves Combitech, Epiroc and Sandvik. It is now looking to connect electrical and automation systems that have so far been developed and leverage these in a demonstration workshop as part of the project’s next phase.

Devised by LKAB, the SUM project has the goal of setting a new world standard for sustainable mining at great depths. The framework outlines ambitions for zero carbon dioxide emissions, completely safe mines for humans, productivity increases of 50% and deeper mining.

ABB will continue to contribute its deep knowledge in electrification, automation and workplaces together with other suppliers to the mining industry, it said.

Test work in LKAB’s Kiruna mine, northern Sweden, as well as a virtual test mine will study the best way to build a carbon dioxide free and autonomous production system.

“Within the mine, the Konsuln orebody is used to demonstrate future workplaces in a decentralised environment with efficient use of an autonomous electrical mobile transport system in a mixed environment,” ABB said. “Real-time process information is available to all organisations involved. When combined with the wider efforts of the SUM partnership, this shows a way of bringing completely new technology solutions to market for safer, more sustainable and more efficient mining production processes.”

Jan Nyqvist, Global Product Manager for Underground Mining Automation at ABB, and one of the leaders in the project, said: “We are taking significant strides towards a vision of the future operator environment through smarter working and demonstrable results. Electrification and automation are two important factors for the mining industry to continue its rapid, but effective, modernisation. Sharing of information and data is crucial to reach substantial end goals.”

He added: “It is becoming increasingly common for suppliers to create dedicated collaboration groups to reach the best possible solutions for their customers. Collective successes and progress and the meeting of key targets for SUM, are initial evidence of the mutual benefits of collaboration.”

ABB has a relatively large team committing time to the project, with experts in digitalisation and research, as well as electrification and automation.

“ABB is integral to the next step, which is to build a demonstration workshop to connect electrical and automation systems that have so far been developed for this challenging project,” Nyqvist said. “We will, through various developed scenarios, be able to show how the systems work together.”

By 2022, the ABB electrification and automation solutions will be fully installed, and the aim is that a new standard for mining production will be displayed at the project by 2030.

ABB to help deliver Talga’s vertically integrated lithium-ion battery anode plan

Talga Group says it has signed a memorandum of understanding (MoU) with ABB to support the development and construction of its Vittangi Anode project, in northern Sweden.

Talga is constructing a scalable battery anode production facility and integrated graphite mining operation in northern Sweden, using 100% renewable electricity to supply ultra-low emission coated anode for, it says, greener lithium-ion batteries. The anode refinery is expected to commence production in 2023.

Under the MoU, ABB will use its industrial automation and electrification expertise to develop and co-ordinate an extensive suite of production control and process solutions for Talga’s vertically integrated lithium-ion battery anode operations.

In addition, ABB will work together with Talga and its partners to provide engineering support for the Vittangi Anode project definitive feasibility study, due for completion March 2021, with the intent to execute binding agreements for construction and operations in future.

Talga, Mitsui and LKAB recently signed a Letter of Intent that could see the three jointly develop the project.

Talga Managing Director, Mark Thompson, said: “ABB is at the forefront of industrial automation and electrification, and we are very pleased to have their support as we continue to execute on our plan to build Europe’s largest Li-ion battery anode production facility for more sustainable batteries.”

Björn Jonsson, Hub Division Manager North Europe, Process Industries, ABB, said: “Supporting the development of Talga’s Vittangi Anode project provides us with an additional opportunity to showcase ABB’s leadership in industrial automation and smart electrification, applied towards construction of key operations for the emerging European battery supply chain.

“This is another milestone for us and our customers in our aim for more sustainable operations and a fossil fuel free society.”

LKAB plots carbon-free pathway with direct reduced iron switch

LKAB has presented its new strategy for the future, setting out a path to achieve net-zero carbon emissions from its own processes and products by 2045, while securing the company’s operations with expanded mining beyond 2060.

Jan Moström, President and CEO of LKAB, said the plan represented the biggest transformation in the company’s 130-year history, and could end up being the largest industrial investment ever made in Sweden.

“It creates unique opportunities to reduce the world’s carbon emissions and for Swedish industry to take the lead in a necessary global transformation,” he said.

The strategy sets out three main tracks for the transformation:

  • New world standard for mining;
  • Sponge iron (direct reduced iron) produced using green hydrogen will in time replace iron ore pellets, opening the way for a fossil-free iron and steel industry; and
  • Extract critical minerals from mine waste: using fossil-free technology to extract strategically important earth elements and phosphorous for mineral fertiliser from today’s mine waste.

The transformation is expected to require extensive investments in the order of SEK10-20 billion ($1.2-2.3 billion) a year over a period of around 15 to 20 years within LKAB’s operations alone. The company said the new strategy was a response to market developments in the global iron and steel industry, “which is undergoing a technology shift”.

The move could cut annual carbon dioxide emissions from the company’s customers worldwide by 35 Mt, equivalent to two thirds of Sweden’s domestic greenhouse gas emissions, it said.

Developments under the HYBRIT project, in which SSAB, LKAB and Vattenfall are collaborating on a process to enable the reduction of steel from iron ore using hydrogen instead of carbon, will be keenly observed following the miner’s announcement.

On top of this collaboration, LKAB is working with Sandvik, ABB, Combitec, Epiroc and several other industry leaders to develop the technology that will enable the transition to fossil-free, autonomous mines, it said.

Moström added: “The market for iron and steel will grow and, at the same time, the global economy is shifting towards a carbon-free future. Our carbon-free products will play an important part in the production of railways, wind farms, electric vehicles and industrial machinery.

“We will go from being part of the problem to being an important part of the solution.”

The market for steel is forecasted to grow by 50% by 2050. This growth will be achieved by an increase in the upgrading of recycled scrap in electric arc furnaces, according to LKAB. Today, the iron and steel industry accounts for more than a quarter of industrial emissions and for 7% of the world’s total carbon dioxide in the atmosphere, according to an IEA report.

The company said: “The global market price for recycled scrap is now twice that of iron ore pellets. The carbon-free sponge iron that will in time replace iron ore pellets as LKAB’s main export product is suitable for arc furnaces, allowing the company to offer industries throughout the world access to carbon-free iron.”

Moström said the switch from iron ore pellets to carbon-free sponge iron was an important step forward in the value chain, increasing the value of its products at the same time as giving customers direct access to “carbon-free iron”.

“That’s good for the climate and good for our business,” he said. “This transformation will provide us with good opportunities to more than double our turnover by 2045.”

During the transformation period, LKAB will supply iron ore pellets in parallel with developing carbon-free sponge iron.

To reach the new strategy’s goals, rapid solutions must be found for various complex issues, according to the company. These include permits, energy requirements and better conditions for research, development and innovation within primary industry.

Moström said: “Our transformation will dramatically improve Europe’s ability to achieve its climate goals. By reducing emissions primarily from our export business, we will achieve a reduction in global emissions that is equivalent to two-thirds of all Sweden’s carbon emissions. That’s three times greater than the effect of abandoning all cars in Sweden for good.

“It’s the biggest thing we in Sweden can do for the climate.”

Göran Persson, Chairman of the Board of LKAB, said: “What Swedish industry is now doing, spearheaded by LKAB, is to respond to the threatening climate crisis with innovation and technological change. In doing so, we are helping to secure a future for coming generations. This will also create new jobs in the county of Norrbotten, which will become a hub in a green industrial transformation. Succeeding in this will create ripples for generations to come. Not just here, but far beyond our borders.

“Now we are doing, what everyone says must be done.”