Environmental technology company Calix has secured $44.9 million in funding from the Australian Renewable Energy Agency (ARENA) to build a novel demonstration plant using its Zero Emissions Steel Technology (ZESTY).
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Powered by renewable electricity and hydrogen, the plant will aim to produce up to 30,000 tonnes of low-carbon hydrogen direct reduced iron (HDRI) and hot briquetted iron (HBI) each year in a strong step toward cleaner steelmaking.
ZESTY leverages Calix’s proprietary Flash Calciner technology which aims to reduce the cost of green iron production. The new funding builds on the successful outcomes of ARENA funded engineering studies for the demonstration plant.
The funding also supports early-stage engineering studies for a much larger commercial scale ZESTY plant, helping build local capability in low emissions metals. The project will also showcase a flexible green iron process that can ramp production up or down to match renewable energy supply—supporting a smarter, cleaner industrial future.
ARENA CEO Darren Miller said, “As the world’s largest producer and exporter of iron ore, Australia has a critical role in reducing emissions across the steel value chain. ZESTY is a strong step toward building a low-emissions steel industry at home.”
“What makes ZESTY so compelling is its potential to dramatically lower the amount of hydrogen required to convert iron ore into pure iron. ZESTY, in combination with use of renewable electricity from Australia’s world-class solar and wind resources, has the potential to create a new green iron industry targeting both domestic and export markets as the world transitions away from fossil fuels.”
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Calix CEO Phil Hodgson said, “Green iron can tackle one of the world’s hardest to abate emissions sources while adding value to Australia’s biggest export. ZESTY is designed to do this cost effectively—minimising hydrogen use, avoiding pelletisation, and operating flexibly on low-cost electricity.”
