Hydrogen Direct Reduction of Iron Ore

Detailed overview of innovation with sample startups and prominent university research

What it is

Hydrogen direct reduction of iron ore is a revolutionary technology poised to transform the steelmaking industry, significantly reducing its environmental impact. This process uses hydrogen as a reducing agent to convert iron ore into iron, eliminating the need for coking coal—the traditional, carbon-intensive method—and paving the way for the production of low-carbon or even carbon-neutral steel.

Impact on climate action

Hydrogen Direct Reduction of Iron Ore significantly advances low-carbon metals production, slashing CO2 emissions by eliminating traditional carbon-based methods. By utilizing hydrogen as a clean alternative, it revolutionizes steelmaking, a major emitter in industry. This innovation drives a crucial shift towards sustainable practices, accelerating global climate action efforts.


  • Direct Reduction: This process involves removing oxygen from iron ore (Fe2O3 or Fe3O4) at high temperatures without melting it. Traditionally, this is done using natural gas or coal, releasing significant amounts of CO2.
  • Hydrogen as a Reducing Agent: In this innovative approach, hydrogen (H2) replaces fossil fuels as the reducing agent. When hydrogen reacts with iron oxides, it forms water (H2O) as a byproduct instead of carbon dioxide (CO2).
  • Renewable Energy Integration: To achieve truly sustainable steelmaking, the hydrogen used in the process needs to be “green hydrogen,” produced through electrolysis powered by renewable energy sources like solar or wind power.
  • Electric Arc Furnace (EAF): The resulting direct reduced iron (DRI) produced via hydrogen reduction can then be fed into an electric arc furnace (EAF), which melts the iron and allows for steelmaking.

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Prominent Innovation themes

  • High-Temperature Electrolysis: Researchers are developing efficient and cost-effective high-temperature electrolyzers to produce green hydrogen at the high temperatures required for direct reduction processes.
  • Novel Reactor Designs: Developing innovative reactor designs optimized for hydrogen direct reduction can improve process efficiency, reduce energy consumption, and lower production costs.
  • Carbon Capture and Utilization (CCU): Integrating CCU technologies can further reduce the environmental impact by capturing CO2 released during the production of hydrogen or from other sources within the steelmaking process and utilizing it in other applications or for storage.

Other Innovation Subthemes

  • Green Hydrogen Production
  • Direct Reduction Technology
  • Hydrogen Reactor Innovation
  • Renewable Energy Integration
  • Sustainable Steelmaking Solutions
  • Low-Carbon Iron Production
  • Carbon-Neutral Steel Development
  • Green Hydrogen Supply Chains
  • Advanced Reactor Designs
  • Carbon Capture Solutions
  • Utilization of CO2 Byproducts
  • Low-Emission Steel Manufacturing
  • Renewable Energy-Powered Steelmaking
  • Hydrogen Reduction Process Optimization

Sample Global Startups and Companies

  • H2 Green Steel (Sweden):
    • Technology Focus: H2 Green Steel is likely pioneering hydrogen-based direct reduction technology for iron ore processing. This process involves using hydrogen as a reducing agent instead of carbon-based sources like coal or natural gas, thereby significantly reducing carbon emissions.
    • Uniqueness: H2 Green Steel stands out for its commitment to producing carbon-neutral steel through the use of renewable hydrogen. By leveraging green energy sources and advanced production techniques, they aim to revolutionize the steel industry’s sustainability profile.
    • End-User Segments: Their target segments likely include industries that prioritize sustainable and low-carbon materials, such as automotive manufacturing, construction, and renewable energy infrastructure.
  • Hybrit (Sweden):
    • Technology Focus: Hybrit, short for Hydrogen Breakthrough Ironmaking Technology, is a joint venture between Swedish companies SSAB, LKAB, and Vattenfall. They focus on developing a hydrogen-based ironmaking process that eliminates the need for fossil fuels.
    • Uniqueness: Hybrit is unique for its collaborative approach, bringing together expertise from multiple sectors to drive innovation in the steelmaking process. Their goal is to establish a commercially viable and environmentally sustainable method for producing steel.
    • End-User Segments: Similar to H2 Green Steel, Hybrit likely targets industries seeking low-carbon steel solutions, including automotive, construction, and infrastructure development.
  • ArcelorMittal (Global):
    • Technology Focus: ArcelorMittal, one of the world’s largest steel producers, is likely investing in hydrogen-based direct reduction technologies as part of its broader sustainability strategy. They aim to reduce emissions and improve the environmental footprint of their steelmaking operations.
    • Uniqueness: ArcelorMittal’s uniqueness lies in its scale and global reach, allowing them to potentially implement hydrogen-based technologies across their extensive production facilities worldwide. Their efforts contribute significantly to decarbonizing the steel industry on a global scale.
    • End-User Segments: As a major steel supplier, ArcelorMittal serves a wide range of industries, including automotive, construction, packaging, and appliances. Their transition to hydrogen-based steel production could have far-reaching impacts on these sectors’ sustainability efforts.

Sample Research At Top-Tier Universities

  • RWTH Aachen University (Germany):
    • Technology Enhancements: Researchers at RWTH Aachen University are pioneering advancements in the hydrogen direct reduction of iron ore, aiming to develop more efficient and sustainable processes. They are exploring novel reactor designs, catalyst materials, and process optimization techniques to enhance the performance and scalability of hydrogen-based iron ore reduction.
    • Uniqueness of Research: RWTH Aachen’s research distinguishes itself by its comprehensive approach, which combines expertise in materials science, chemical engineering, and process optimization. They are investigating the entire value chain, from raw material extraction to product manufacturing, to identify opportunities for reducing carbon emissions and improving resource efficiency.
    • End-use Applications: The low-carbon metals produced using hydrogen direct reduction techniques at RWTH Aachen have applications in various industries, including steelmaking, automotive manufacturing, and infrastructure development. These metals offer a more sustainable alternative to traditional iron and steel production methods, helping to mitigate climate change and reduce environmental impact.
  • McMaster University (Canada):
    • Technology Enhancements: McMaster University researchers are focusing on developing innovative hydrogen direct reduction processes that leverage renewable energy sources such as solar and wind power. They are exploring the integration of electrolysis systems with iron ore reduction reactors to produce green hydrogen and minimize carbon emissions.
    • Uniqueness of Research: McMaster’s research stands out for its emphasis on renewable energy integration and process electrification in low-carbon metals production. By coupling hydrogen production with iron ore reduction, they aim to create a closed-loop system that maximizes energy efficiency and minimizes environmental footprint.
    • End-use Applications: The low-carbon metals produced at McMaster University have applications in various sectors, including construction, transportation, and renewable energy infrastructure. These metals can be used to manufacture lightweight, durable components for electric vehicles, wind turbines, and green buildings, contributing to the transition to a more sustainable economy.
  • University of Wollongong (Australia):
    • Technology Enhancements: Researchers at the University of Wollongong are exploring novel reactor designs and catalyst materials for hydrogen direct reduction of iron ore. They are investigating the use of advanced computational modeling and simulation techniques to optimize reactor performance and enhance product quality.
    • Uniqueness of Research: The University of Wollongong’s research distinguishes itself by its focus on developing scalable and cost-effective solutions for low-carbon metals production. They are collaborating with industry partners to test and validate their technologies in real-world settings, with the aim of accelerating the commercialization and adoption of hydrogen-based iron ore reduction processes.
    • End-use Applications: The low-carbon metals produced using hydrogen direct reduction techniques at the University of Wollongong have applications in various industries, including manufacturing, infrastructure, and renewable energy. These metals offer a sustainable alternative to conventional iron and steel production methods, helping to reduce greenhouse gas emissions and promote climate resilience.

commercial_img Commercial Implementation

Hydrogen direct reduction is transitioning from pilot projects to commercial production. H2 Green Steel’s ambitious green steel plant in Sweden is a significant milestone, and Hybrit is rapidly scaling up its technology. Major steel producers like ArcelorMittal are also incorporating hydrogen direct reduction into their operations, signaling the technology’s growing maturity and commercial viability.