Equipment maker Danieli, high-tech company Leonardo and engineering firm Saipem are aiming to decarbonise the steel sector using hydrogen. They signed a cooperation framework agreement on Thursday, Kallanish reports.

The companies plan to use a new technological solution, which involves replacing conventional steel production processes based on blast furnaces with a new process that will use hybrid electric powered furnaces integrated with direct iron ore reduction plants. These will use a mix of methane and hydrogen.  

The project is consistent with current Italian and EU CO2 emissions reduction objectives. Hydrogen is seen as a major solution to decarbonising energy-intensive industries such as steel and cement. It’s deployment, however, is still in early-stages and very much reliant on economies of scale and cost reduction.