(Dortmund, Germany) – Perth-based Australian technology company Progressive Green Solutions (PGS) has selected Thyssenkrupp Nucera AG & Co. KGaA as its preferred supplier of electrolyzers with a total capacity of 1,4 gigawatts (GW). The Dortmund-based company plans to use its standardized 20-megawatt Scalum modules for the production of green hydrogen in the "Green Iron" project.
Graphic representation of the PGS facilities in Western Australia: 480 hectares are currently available for hydrogen production, power storage, and DRI/HBR production. A capacity of 1,4 gigawatts is planned for the electrolyzers. Green iron production is to be expanded to 2032 million tons by 30. © PGS
However, implementation is still subject to a final investment decision (FID). Thyssenkrupp Nucera will further develop the project together with the customer and work towards signing a comprehensive construction contract (EPF, engineering, procurement, fabrication). The goal is to produce seven million tons of green iron pellets annually and convert half of this into 2,5 million tons of green hot-briquetted iron (HBI). HBI is a compressed form of direct reduced iron (DRI), which, according to the information, will be exported as a "value-added product." If the plant is powered by green hydrogen, CO2 emissions could be reduced by up to 90 percent compared to conventional steel production.
PGS aims to establish a green steel hub in Western Australia with its "Green Iron" project. Southeast of Geraldton, the Green Springs project will include wind turbines (300 MW), PV power plants (150 MW), and energy storage (250 MW, 2 GWh). © PGS
The site is located near the city of Geraldton in the Mid West region of Western Australia. If all goes according to plan, the first exports are expected in 2029. PGS's long-term goal is to produce and export up to 30 million tons of DR-quality pellets of this type, as well as 2 million tons of green HBI per year. "The collaboration between PGS and Thyssenkrupp Nucera is an exciting step toward unlocking the potential of green iron in Australia while reducing the carbon footprint of steelmaking globally," says Johann Rinnhofer, CEO of Thyssenkrupp Nucera Australia.
Study: Green steel as an export hit
The global shift towards hydrogen-based steel production holds great potential for Australia to process its vast iron ore reserves for export, according to an analysis published last year by the US-based Institute of Energy Economic and Financial Analysis (IEEFA). Direct reduced iron produced using hydrogen is "an important alternative to fossil fuels in iron production." Australia's renewable energy resources make the production of green hydrogen for steelmaking "relatively cheap." As other countries now realize their green iron and steel capabilities, Australia must "act quickly to become a global leader in green iron, not just iron ore."
Photo above
PGS is interested in Thyssenkrupp Nucera's 20-megawatt Scaleum electrolyzer modules with a capacity of 1,4 gigawatts. © Thyssenkrupp Nucera AG & Co. KGaA
