ARENA and Bluescope engage Future Fuels CRC and UoW on low emissions steel project

May 9, 2022

The Australian Renewable Energy Agency (ARENA) has today announced $924,784 for BlueScope Steel to investigate options to decarbonise operations at the Port Kembla Steelworks (PKSW) in New South Wales. Future Fuels CRC will support the study by providing technical input and review activities and by leveraging our broader knowledge base of technical, commercial, market barriers and opportunities for future fuels, including hydrogen and biogases.

Bluescope is partnering with the University of Wollongong to assist in delivering the project by provide expertise in process modelling, steelmaking technologies and pneumatic conveying of raw materials.

The Port Kembla Steelworks Renewables and Emissions Reduction Study will consider the technical and economic feasibility of several decarbonisation options for the plant. This initial project will explore two main pathways to lowering emissions at Port Kembla: Smart Carbon Usage and Direct Carbon Avoidance. The project is expected to be completed in 13 months.

Smart Carbon Usage refers to opportunities to substitute coal with renewable carbon sources in the steel production process. The project includes a series of plant trials where BlueScope will investigate the potential to partially replace coal that is injection into the blast furnace with renewable biochar. Direct Carbon Avoidance refers to longer term opportunities to decarbonise steelmaking, including through the utilisation of renewable hydrogen  in combination with a Direct Reduced Iron (DRI) process.

For more information on the project, visit