HDRI Development
In addition to an export facility and mineral processing facilities, Port Playford site also presents as a solid case or opportunity to develop a decarbonised Direct Reduced Iron and Hot Briquetted Iron facility in South Australia to value add local magnetite resources and support emissions reduction through the trade of green iron to local and international steel manufacturers.
YG Group have already undertaken much work in anticipation of developing a HDRI plant on Port Playford site, currently in pre-feasibility stage.
To develop the opportunity further, requires coordination and collaboration with a wide range of stakeholders who can support the technological, commercial, environmental, regulatory and strategic requirements of the proposed green iron facility.
There are many variables and complexities that require further work to determine the best selection of technologies and equipment that can deliver a high grade DRI/HBI billet at globally competitive pricing.
From DRI technology perspective, the most mature and globally utilised technology is gas shaft DRI plants, with increasing visibility of 100% hydrogen operations that can provide essential understanding of upstream and downstream requirements for planning.
A significant investment will come from the future demand for renewable energy in the region to supply electricity to the plant and for supply to hydrogen generation facilities in the future. This is a critical decision to make in the future as green iron inputs rely heavily on the availability of low cost clean electricity to ensure global competitiveness.
Hydrogen storage and infrastructure also has the potential to provide complexity and opportunities to minimize cost and create additional value to other parties including government, industry and communities, with a range of options available for consideration.
Strategic partnerships will be critical to the development of the green iron DRI plant and to enable a financial investment with confidence around the ongoing sustainability of the process.
While forwarding its pre-feasibility studies, YG Group has already taken initiatives in commencing engagements with potential strategic partners that includes the following areas:
- Steel Manufacturers
- DRI Technology Providers
- Renewable Energy
- Developers and operators
- Energy Trading
- Hydrogen Production
- Hydrogen storage and transport
- Environmental and Regulatory permitting