Ontario Construction News staff writer
ArcelorMittal Dofasco will launch a $1.8 billion “green steel” transformation at the Hamilton site next year by demolishing the former coal-fired coke ovens and blast furnaces and replacing them with electric arc furnaces.
Provincial and federal governments will fund $900 million for the project expected to cut greenhouse gas emissions from Dofasco by nearly two-thirds.
“Today is a historic moment for our company. This is the first full-scale decarbonisation project we have broken ground on since announcing our commitment to achieve net zero by 2050 and reduce carbon emissions intensity by 25% by 2030,” ArcelorMittal chairman Lakshmi Mittal said in a statement.
The first onsite construction work will begin in January 2023, with the demolition of the decommissioned No.1 Coke Plant to make room for the new DRI plant. Demolition is anticipated to take up to nine months to complete.
Also in 2023, detailed engineering work will be undertaken before foundation work begins in 2024. Construction will become visible from outside the manufacturing campus in 2024 as the structures begin to take shape. Construction on the new assets will be complete in 2026, at which point a 12 to 18-month transition phase will begin with both steelmaking streams (BF-BOF and DRI-EAF) active. The transition will be complete by 2028.
In addition to the new DRI facility, the project also involves the construction of an EAF capable of producing 2.4 million tonnes of high-quality steel through ArcelorMittal Dofasco’s existing casting, rolling and finishing facilities. Modification of ArcelorMittal Dofasco’s existing EAF facility and continuous casters will also be undertaken to align productivity, quality and energy capabilities between all assets in the new footprint.
“This project will transform how we make steel in Hamilton by introducing coal free, lower-carbon technologies. It will enable us to make significant progress this decade, reduce our emissions in Hamilton by approximately 60 per cent and lay strong foundations for near zero steelmaking. It will also ensure that Hamilton’s rich history of steelmaking endures, and that ArcelorMittal Dofasco is able to produce the advanced steel solutions Canada needs to support its own vision of transitioning to a net zero economy,” Mittal saud,
At a groundbreaking ceremony last week, Prime Minister Justin Trudeau called the project “an example to the world of what clean innovation will look like.”
“It’s not happening in Europe, it’s certainly not happening in China,” Trudeau said. “This big step is being led right here.”
The Trudeau government has committed to cutting greenhouse gas emissions by 40 to 45 per cent below 2005 levels by 2030.