$39m for low-carbon industry research

Fortescue Metals Group and Curtin University are part of a consortium to research low-carbon iron pellets, cement and alumina, which received $39 million from the federal government today.

The Heavy Industry Low-carbon Transition Cooperative Research Centre will be led by the University of Adelaide, with Roy Hill Holdings, South32, Alcoa of Australia, Boral and Adbri also core partners for the 10-year program.

The CRC is backed by $176 million of funding and in-kind support from industry and research partners.

The centre’s ambitious plans include green iron products from South Australian magnetite in addition to Pilbara ores.

The prospectus calls for 10 per cent of Australia’s iron exports to be in value added form, such as pellets.

Iron pellet kilns could be converted to low-carbon operation using hydrogen, while green steam could be used for alumina. 

In the medium term, the CRC will target technology for green calcination to produce alumina, lime and cement; and technology to reduce emissions when manufacturing products from iron ore.

The CRC projected $10 billion of investment by businesses into related projects by 2036 if all goes to plan.

Industry Minister Christian Porter said the CRC would help lower costs for heavy industry and export low carbon, value added products.

“In order to remain internationally competitive, it is crucial that our heavy industries begin the transition to lower cost and cleaner energy technology to secure the long-term future of their operations,” Mr Porter said.

“By connecting those industries with our best and brightest minds from within our major research institutions, coupled with the significant funding that’s now available to fast-track this work, we expect real-world solutions can be delivered within the 10 year life of the CRC.”

Curtin University director of sustainable engineering Michele John will lead part of the research program, including work on supply chains, commercialisation, community engagement and industry roadmaps.

Professor John said the CRC would help develop a green economy, particularly for exports.

“While the HILT CRC will be headquartered in Adelaide, it will include important regional research hubs across the country, including Kwinana, the South West regions and the Pilbara in Western Australia,” she said.

“Curtin will be working with our partners who operate in these WA heavy industry hubs to develop the technologies and programs needed to make the transition to sustainability, a reality.

“These industries are large local employers in the regions, and the work of the HILT CRC, will not only help grow the companies, but also help sustain thousands of Australian jobs for the future.”

Fortescue chief executive Elizabeth Gaines said the company was committed to becoming a clean energy leader, and had an ambitious carbon neutrality target by 2030.

"Promoting a culture of ongoing collaboration is critical to ensuring heavy industry is in a strong position to tackle the challenges associated with climate change.

"As a core partner of the HILT CRC, we are pleased to work with leading academics and industry partners across Australia to achieve the technology solutions needed to drive emissions reduction in the mining sector, and to build our knowledge to support the decarbonisation of the steel industry."