US company gets $120 million boost to make 'green steel'

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The manufacture of “green steel” moved a step closer Friday as Massachusetts-based Boston Metal announced a $120 million investment to help it produce steel that is far less damaging to the climate than traditional steel.

Research and development engineer Ravneet Kailey performs an experiment to produce steel without using carbon in a glowing lab cell, left, Wednesday, Jan. 25, 2023, at Boston Metal, in Woburn, Mass. The manufacture of green steel moved one step closer to reality Friday, Jan. 27, as Boston Metal announced a $120 million investment from the world's second-largest steelmaker, ArcelorMittal.

The financial package by global steel giant ArcelorMittal is the biggest single investment made to date by the firm’s carbon innovation fund. Microsoft is another investor. Instead of burning coal, their process runs electricity through iron ore in a metal box or “cell” the size of a school bus to separate the iron from the oxide. Operators then collect the liquid iron from the bottom, Carneiro said. Boston Metal said it can eliminate all carbon dioxide from its steel production and hopes to ramp up production to millions of tons by 2026. As a bonus, it said, it is able to extract metals from slag normally considered waste.

In the United States, most steel is already cleaner, because it is made by melting down old steel, for example junked cars. That can be done in electric kilns and emits a fraction of the climate-changing gases as virgin steel production.

 

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Microsoft and ArcelorMittal back MIT spinout trying to green the $1.6 trillion steel industryBoston Metal just scored a $120 million round. There's a lot of room for carbon optimization here.
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