What we do
We produce high-quality and carbon-negative fully carburized sponge iron (DRI) and a co-product in form of liquid biogenic carbon dioxide. As co-products we also get valuable biochar and excess heat.
Our customers
Our fully carburized sponge iron (DRI) will in the near future be offered to special steel mills, in Sweden and Finland with whom we have an off-take agreement. Our liquid biogenic carbon dioxide will be offered to companies within the chemical and energy industry. Biochar and excess heat will also be valuable co-products, that can be used by for example steel mills and district heating businesses.
Read more about our cost competitive and energy-efficient process. Besides having a potential of being carbon-negative we strengthen our customers competitiveness:
Development of the DRI market. Source: 2024 World Direct Reduction Statistics, Midrex Technologies, Inc. (click image to enlarge)
The challenge we solve
Our development and future growth are enabled by a fast-growing market demand as the figure shows, driven by the transition in the steel and energy industry were resilience and sustainability are in focus. Electric steelmaking, with scrap and DRI will result in lower carbon footprint, compared with traditional processes based upon the usage of coal and blast furnaces, responsible for 7-9% of todays global CO² emissions.
Electric steelmaking is the new normal but a predicted shortage of scrap, due to the availability mirrors the consumption of steel 30 years ago, guarantee’s a significant further increase in demand of DRI. The steel industry will therefore probably face a future challenge in getting access to enough DRI and scrap. FerroSilva will help them to solve that challenge.
Rapid scalability
Establishment takes place in stages, with a possible start of a first pilot plant, planned at one of our customers sites in Finland or Sweden where we have already entered off-take and land-lease agreements with one of these. Our goal is to reach an annual delivery capacity of 50 KTON, of both fully carburized DRI and liquid biogenic carbon dioxide in 2029 and >500 KTON of each product in 2032, when having two plants in operation.
We see significant growth opportunities in the Northern Europe, North and South America and Southeast Asia, where our further growth is planned. In these areas there is biomass available and existing special steel mills that, like the mills in the Nordics, will need DRI as complement to scrape for their future electric based production. And the existing electricity infrastructure can be used even here. These conditions enable a rapid scalability.