Prospects of Green Hydrogen as a Key Enabler for the Swedish Steel Industry

Abstract

This study investigates the potential of using hydrogen produced with renewable electricity to establish a new standardised pathway in the reduction of iron oxide in the process of steel making. By analysing current projects, the latest research as well as interviews with renowned professionals, this study offers insights into the green shift of the steel industry and offers a brief look into the future. Besides this, the thesis also delves into the process of proton exchange membrane electrolyser, a promising method producing hydrogen with renewable energy. Discussion of a potential bottle neck using limited rare earth metals along with recent research proving the amount of catalyst used in the proton exchange membrane might be very little. The study concludes that PEM is a promising method, however currently it is not economically profitable to utilise this electrolysis method because of the high investment cost. Furthermore, it is concluded that if it possible to reduce the iridium loading and replace expensive metals such as gold and titanium, PEM can potentially replace the more commercially available alkaline water electrolysis in the future. Steel manufacturing contributes to a large part of the Swedish economy but also to the yearly carbon emissions. The method of reducing iron ore by hydrogen gas have shown promising results, however the questions remains if the incentive is big enough. To fundamentally change the industry would require contribution from both the industry itself but also from the state. It would be a hefty investment and presumably too expensive for the companies to handle without the help through loans and political regulations. In Sweden there are two large projects that are planing to produce green steel by using hydrogen from water electrolysis in large scale. The thesis concluded that green steel has potential to be the future for the steel industry, however the industry will face challenges such as maintaining the supply of renewable electricity as well as the necessity to change established infrastructure.