A Thermochemical Shift in Steelmaking: Replacing Carbon with Hydrogen to Mitigate CO₂ Emissions

Introduction

The steel industry is one of the largest contributors to global greenhouse gas (GHG) emissions, accounting for approximately 7–9% of global CO₂ emissions. Traditional steelmaking processes, particularly the Blast Furnace-Basic Oxygen Furnace (BF-BOF) route, rely heavily on coal-based reductants like coke, resulting in substantial CO₂ emissions. A promising solution gaining momentum is the use of green hydrogen as a reducing agent in Direct Reduced Iron (DRI) processes, enabling low-carbon or carbon-neutral steel production.

Conventional Steelmaking vs. Hydrogen-Based Steelmaking

ParameterConventional (BF-BOF)Hydrogen-based (H₂-DRI + EAF)
ReductantCoke (from coal)Green Hydrogen (H₂)
Carbon Emissions~1.8–2.2 tons CO₂/ton of steel<0.1 tons CO₂/ton (if H₂ is green)
Energy SourceFossil fuelsRenewable energy (for H₂ and EAF)
Primary ReactorBlast FurnaceDirect Reduction Shaft Furnace
Secondary ProcessBasic Oxygen FurnaceElectric Arc Furnace (EAF)

What is Hydrogen-Based Steelmaking?

Hydrogen-based steelmaking refers to the use of molecular hydrogen (H₂) as a chemical reductant to extract iron from iron ore, replacing carbon (C) traditionally used in blast furnaces. The primary chemical reaction involved is:

Fe₂O₃ + 3H₂ → 2Fe + 3H₂O

Unlike carbon based processes that emit CO₂, this reaction produces water vapor (H₂O), offering a near-zero carbon alternative.

Process Flow: Hydrogen Based Direct Reduced Iron (H₂-DRI) Route

Step 1: Hydrogen Generation

  • Electrolysis of Water using renewable energy (solar, wind).
    • Electrolyzer types: PEM (Proton Exchange Membrane), Alkaline, SOEC (Solid Oxide Electrolysis Cells).
    • Output: High purity green hydrogen gas.

Step 2: Direct Reduction of Iron Ore

  • Iron ore pellets are fed into a shaft furnace.
  • Hydrogen gas is injected at high temperatures (~800–1000°C).
  • The hydrogen reduces iron ore (hematite or magnetite) to Direct Reduced Iron (DRI or sponge iron).
  • Off-gases (mainly H₂O and unreacted H₂) are cooled, separated, and partially recycled.

Step 3: Electric Arc Furnace (EAF) Melting

  • The DRI is transferred to an Electric Arc Furnace, powered by renewable electricity.
  • Scrap steel can be added for energy efficiency.
  • Molten steel is refined, alloyed, and cast into desired forms.

Technical Components and Technologies Involved

5.1 Hydrogen Electrolyzers

  • PEM Electrolyzers: High efficiency, suitable for fluctuating renewable energy sources.
  • Alkaline Electrolyzers: Lower cost, mature technology.
  • SOEC: High efficiency at elevated temperatures, still under development.

5.2 Shaft Furnace for DRI

  • Vertical reactor with temperature and gas flow control.
  • Optimized gas injection nozzles for hydrogen dispersion.
  • Refractory lining for heat retention and corrosion resistance.

5.3 EAF (Electric Arc Furnace)

  • High-capacity electric furnace using graphite electrodes.
  • Advanced control systems for energy optimization and arc stability.
  • Oxygen lancing and slag control systems for impurity removal.

5.4 Gas Handling & Recovery System

  • Moisture separation from off-gas stream (condensation of steam).
  • Hydrogen purification (using PSA or membrane separation).
  • Recompression and recycling of unreacted hydrogen.

Working Principle of Hydrogen Reduction in Steelmaking

The hydrogen based reduction process is a thermochemical reaction where hydrogen (H₂) is used to reduce iron oxides (such as hematite – Fe₂O₃ or magnetite – Fe₃O₄) into metallic iron (Fe). Unlike conventional carbon-based methods that emit CO₂, the only byproduct here is H₂O (water vapor).

Fundamental Chemical Reactions

The process consists of a sequence of endothermic reduction reactions that occur in a shaft furnace:

  1. Hematite to Magnetite
    3Fe₂O₃ + H₂ → 2Fe₃O₄ + H₂O
  2. Magnetite to Wüstite
    Fe₃O₄ + H₂ → 3FeO + H₂O
  3. Wüstite to Iron (Metallic Fe)
    FeO + H₂ → Fe + H₂O

Overall Net Reaction:
Fe₂O₃ + 3H₂ → 2Fe + 3H₂O

These reactions occur progressively at temperatures between 700°C and 1000°C.

Key Thermodynamic Considerations

  • The reactions are endothermic and require external heat input to maintain furnace temperature.
  • At higher temperatures, reaction kinetics improve due to faster diffusion of hydrogen molecules and more efficient phase transformations.
  • The equilibrium of the reduction reactions is driven by low partial pressure of water vapor, which helps push the reaction toward completion.
  • Le Chatelier’s Principle applies: removing water vapor from the system drives the reaction forward.

Kinetic Mechanism

The reduction involves the following steps at the microstructure level:

1. Mass Transfer of Hydrogen

  • Hydrogen gas diffuses through the gas boundary layer surrounding the iron ore pellet.
  • External diffusion depends on furnace pressure, flow rates, and gas composition.

2. Intraparticle Diffusion

  • Hydrogen permeates the porous structure of the iron oxide pellet.
  • Micro-porosity is crucial to allow deep penetration and complete reduction.

3. Surface Reaction

  • Adsorption of hydrogen onto the iron oxide surface.
  • Redox reaction occurs at active sites, releasing H₂O vapor.

4. Water Vapor Removal

  • H₂O molecules formed at the surface must diffuse out of the pellet.
  • Efficient gas flow is needed to avoid reaction inhibition by water accumulation.

Pellet Design Considerations

  • High porosity and uniform grain structure enhance hydrogen accessibility.
  • Binder materials must not react adversely with hydrogen.
  • Size and shape optimization ensures uniform temperature distribution and conversion rate.

System Components Supporting the Process

ComponentFunction
Hydrogen InjectorDelivers preheated H₂ uniformly across shaft furnace zones
Shaft FurnaceHosts reduction reactions; controlled environment for temperature and pressure
Off-Gas CoolerCondenses water vapor; separates unreacted H₂
Gas RecyclerCompresses and reinjects unreacted hydrogen to improve efficiency
Thermal InsulationMinimizes heat loss and maintains reaction temperature

Key Parameters Affecting Hydrogen Reduction Efficiency

ParameterOptimal Range / Impact
Temperature800–1000°C for fast kinetics
Hydrogen Purity>99.9% to avoid contamination
Pellet Size8–16 mm for uniform reduction
Residence Time5–12 hours depending on ore and furnace design
Water Vapor RemovalCritical for driving reaction completion

Why Hydrogen Over Carbon?

FactorCarbon-based (C/CO)Hydrogen-based (H₂)
ByproductCO₂ (greenhouse gas)H₂O (water vapor)
Thermal EmissionHigh (carbon combustion)Lower (H₂ reacts cleanly)
Reaction SpeedSlowerFaster at optimized temp
Energy SourceFossil fuelsRenewable-compatible

Advantages of Hydrogen Reduction

  • Zero direct CO₂ emissions
  • Cleaner work environment
  • Better control of impurity levels
  • Compatibility with renewable electricity for green hydrogen generation
  • Environmental and Energy Impact
ParameterTraditional ProcessH₂-Based Process
CO₂ EmissionsHigh (1.8–2.2 tCO₂/t steel)Low (<0.1 tCO₂/t steel)
Process ByproductsCO, CO₂Water vapor
Energy Efficiency30–35%45–55% (if green H₂ and EAF used)
Renewable CompatibilityLowHigh (green hydrogen + RE-powered EAF)

How hydrogen-based steelmaking supports sustainability?

 1. Reduction in Greenhouse Gas Emissions

Traditional Process:

  • Conventional steel production via blast furnace-basic oxygen furnace (BF-BOF) route emits large amounts of CO₂ due to the use of coke (carbon) as a reducing agent.
  • Emissions range from 1.8–2.2 tonnes of CO₂ per tonne of steel.

 Hydrogen-Based Process:

  • Replaces carbon (C) with hydrogen (H₂) as the reductant.
  • The only byproduct is water vapor (H₂O), completely avoiding CO₂ emissions at the reaction level.

Impact:

  • Up to 95% reduction in CO₂ emissions from the reduction step.
  • Aligns with global decarbonization targets such as those set by the Paris Agreement and Net Zero by 2050 initiatives.

2. Supports Circular and Renewable Energy Integration

  • Hydrogen can be produced via electrolysis using renewable energy sources (solar, wind, hydro).
  • When powered by green hydrogen, the entire steel production process becomes carbon-neutral.
  • Excess renewable energy can be stored in the form of hydrogen, improving energy system flexibility.

3. Resource Efficiency

  • Reduces reliance on finite fossil fuels like coal and coke.
  • Promotes long term availability of cleaner energy carriers.
  • Decreases particulate matter, NOₓ, and SOₓ emissions associated with coal combustion.

4. Cleaner Industrial Processes

  • Hydrogen-based steelmaking produces fewer solid and gaseous pollutants.
  • Reduced slag and ash formation compared to coal.
  • Better workplace safety and air quality in steel plants due to elimination of combustion byproducts.

5. Industrial Decarbonization and Policy Compliance

  • Helps steel manufacturers meet ESG goals (Environmental, Social, Governance).
  • Complies with evolving carbon pricing and emission regulations (e.g., EU ETS, Carbon Border Adjustment Mechanisms).
  • Positions industries competitively in green product markets demanding low-carbon steel.

6. Long-Term Economic Sustainability

  • Although initial investment is high, long term operational savings emerge from:
    • Lower carbon taxes
    • Renewable energy cost declines
    • Increased demand for sustainable construction and automotive materials
  • Supports green jobs creation in hydrogen infrastructure, electrolyzer manufacturing, and clean-tech innovation.

Sustainability Impact Summary Table

FactorCoal Based SteelmakingHydrogen Based Steelmaking
CO₂ Emissions~2.0 t CO₂ / t steel~0.1–0.2 t CO₂ / t steel (indirect)
ByproductsCO₂, SOₓ, NOₓ, ashWater vapor (H₂O)
Energy SourceFossil fuelsRenewable-powered hydrogen
Regulatory ComplianceHigh penalties, carbon taxGreen tax credits and incentives
Resource DepletionHigh (coal mining)Low (hydrogen from water)
Air PollutionHigh particulate + gas emissionsMinimal emissions
Social License & ESG AlignmentWeakStrong

Conclusion

Hydrogen-based steel production represents a transformative pathway for decarbonizing one of the most emissions-intensive industries. By replacing carbon with hydrogen as a reductant and leveraging electric arc furnaces powered by renewables, steelmakers can achieve near-zero-emission production. While technical and economic barriers remain, advancements in electrolyzer efficiency, hydrogen storage, and green infrastructure are rapidly closing the gap, making low-carbon steel an attainable cornerstone of industrial sustainability.