The Future of Steel

10.12.2009
The Future of Steel
Basic Principles and General Lessons
Dr. Gunnar Still, Corporate Coordinator Environment and
Climate
Dr. Hans-Jörn Weddige, Head of Corporate Climate Policies
10.12.2009
ThyssenKrupp Steel Europe
Future of Steel is governed by rules, regulations and
restrictions
Fe2O3 & C => Fe & CO2
 Steel Making does not exist isolated and
independent. It is governed by many laws, rules,
regulations and restrictions
• Physical laws and technological boundaries
• Legal framework
• Market restrictions and trade rules
• Social framework
 Governments and society must make informed
decisions on where and how to sensibly add extra
rules and restrictions.
 Successful steel making requires to operate within
these frames and continue to explore new
sustainable ways forward.
ThyssenKrupp Steel Europe
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10.12.2009
Sources for Steel Making – Iron Ore and Scrap
Fe2O3 & C => Fe & CO2
 Iron Ore Supplies
• Physically plentiful
• Commercially increasingly restricted
- National export controls
- Consolidation and Monopolisation of Iron Ore
Market
• Rio Tinto – BHP Billiton
 Scrap as a substitute is used to its fullest potential
• 40 year average return time
 Steel industry in 2050 will still depend on both inputs.
• Availability must be ensured
• Quality issues need to be addressed
ThyssenKrupp Steel Europe
CO2 and Climate Change – Impact of and on Steelmaking
Fe2O3 & C => Fe & CO2
 Steelmaking is a major source of anthropogenic CO2
 Major R&D efforts
• ULCOS: Collaboration of major steel companies
(ArcelorMittal, Corus, ThyssenKrupp, etc.)
- Industrial implementability not yet clear
- Huge technical and economic uncertainties in upscaling
- Natural replacement rate of equipment
measures in decades
 CCS – a solution or a dead end?
• CO2 does not disappear
ULCOS II a) & b)
ULCOS I
 CCR – ideas for a true future?
ThyssenKrupp Steel Europe
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10.12.2009
Carbon and the Future of Steelmaking
Fe2O3 & C => Fe & CO2
 Coal availability
• Quality of coals
• Availability of coking coals
 Biomass as an alternative?
• Historic lessons in Europe disastrous
• Quantity issue
• Logistic barriers
 Future reducing agents
• Hydrogen, Electrons, ?
ThyssenKrupp Steel Europe
Steel – Reason and Measure for our Activities
Fe2O3 & C => Fe & CO2
 Alternative Materials as a solution?
• No!
• OK, yes; but they will mostly be new steels…
 Future of Steel Demand
• Continuing Demand Increase (all materials 2-3 x)
• Shifting of Demand (Asia today, Africa ?)
• Increased Pressure from Costumers and Users
 Future of Steel Use
• Products and Lifestyles will change, but still
requires “stuff”
• Steel will remain the industrial backbone of the
post-modern society
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10.12.2009
Framework Conditions required for successful solutions
Fe2O3 & C => Fe & CO2
 Steelmaking does not happen on its own, but needs
favourable conditions.
• Technical understanding
• Economic attractiveness
• Legal operating conditions
 Globalisation is not threat but working reality.
• Global industry needs global level-playing fields
 Political and societal acceptance of steel industry as
foundation for a sustainable future is key.
 Human Resource might be our overwhelming
challenge of the next decades.
ThyssenKrupp Steel Europe
Stahl bridges the gaps
to a climate friendly
sustainable future!
structural
material for
infrastructure
Heat-treated heavy plate for high performance applications
Mobile Cranes: Relation Lifting Capacity to Weight in use raised
to 8:1
generator
Functional material:
only steel can transform
motion in electricity
and vice versa
transformer
electrical motor
Grain-orientated Electrical Steel for effective energy generation
Efficiency up to 99%
ThyssenKrupp Steel Europe
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