If approved, the plant will be built on a site in Kwinana, south of Perth, previously earmarked for Rio Tinto’s BioIron research and development facility and associated pilot plant.
Under the deal with Calix, Rio Tinto will invest more than AU$35 million, pending project milestones. The mining giant’s financing includes both in-kind and financial contributions.
Receiving the plant 44.9 million Australian dollars in support from the Australian Renewable Energy Agency in July.
Rio Tinto’s work includes helping Calix make a final investment decision through technical support, engineering services and advocacy. Subject to a final investment decision and successful project construction, Rio Tinto will supply up to 10,000 tonnes of diverse Pilbara iron ores for the plant commissioning and initial testing phase.
The miner will also provide introductions to potential customers for downstream use of the Zesty product.
“The world needs low-emission steel if it is to decarbonise, and we continue to look at some of the ways Pilbara iron ore can help with this as new technologies emerge,” said Matthew Holcz, managing director of Rio Tinto Iron Ore.
He added that Rio Tinto will continue to develop BioIron together with its partners, the University of Nottingham and Metso. However, the company has decided that the current oven design requires additional development.
“Both projects are part of our work to reduce emissions and support the future of iron ore in Australia and the communities that depend on it,” Holcz added, referring to Zesty and BioIron.
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Securities Disclosure: I, Gabrielle de la Cruz, have no direct investment interest in any company mentioned in this article.
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