SOME of South Australia’s key industry players have launched a new consortium, Green Iron SA, in order to accelerate the establishment of a green iron industry in the southern state.
The pioneering consortium is comprised of Magnetite Mines, Aurizon Holdings, Flinders Port Holdings, and GHD, and is aiming to harness the untapped potential of SA’s Braemar Iron Region to position the state as a global leader in low-carbon steel supply.
The consortium believes the natural comparative advantages SA brings create a generational opportunity to establish a significant green iron export industry in Australia, to meet the steel decarbonising needs of the country’s key trading partners.
The consortium is proposing a phased development pathway, to enable the necessary foundations to be put in place to ensure the proposed new industry is sustainable.
Green Iron SA wants to start with fast-tracking the development of the Razorback Iron Ore Project, thereby creating a secure supply of high-purity magnetite, a feedstock critical to the production of green iron.
From there, the project will progress to the production of direct reduction grade pellets and eventually, manufacturing and exporting direct reduced iron in the form of Hot Briquetted Iron.
The consortium has chosen the established industrial city of Port Pirie (SA) as the location for the production and export, which would begin in the city by the early 2030’s.
By using natural gas and green hydrogen when available, Green Iron SA is intending to address the urgent need to make significant reductions of carbon emissions in global steel production.
By doing so the consortium says it will deliver substantial economic benefits to the Upper Spencer Gulf region, including long-term job creation and community revitalisation.
Stewart Lammin, CEO at Flinders Port Holdings, said the Port Pirie precinct offers a unique opportunity to develop a state-of-the-art export hub.
“By leveraging existing infrastructure, we can fasttrack the transition to a green iron industry and contribute to the economic prosperity of the region,” Mr Lammin said.
“FPH is ready to facilitate the export of green iron products to global markets, showcasing South Australia’s leadership in sustainable development.”
Tim Dobson, managing director of Magnetite Mines said the time has arrived for SA to take advantage of its massive magnetite endowment.
“With six billion tonnes of magnetite resources ready to mine, Magnetite Mines is excited to take this important step toward building a world-class green iron industry in South Australia,” Mr Dobson said.
“This project not only aligns with global decarbonization goals but also positions South Australia as a leader in sustainable mining and green iron production.”
To realise its vision, Green Iron SA is calling for government collaboration to remove key infrastructure barriers, particularly in water, power, and logistics, in order to unlock the full potential of the Braemar Iron Region.
Head of customers and growth at Aurizon Holdings, David Steele said, “Opening up the Braemar requires an integrated logistics solution that can move vast quantities of iron ore efficiently and sustainably”.
“Aurizon is supporting the development of a project critical to addressing the challenge facing the steel sector’s carbon emissions by providing the rail and freight infrastructure that will make South Australia’s green iron industry globally competitive,” Mr Steele said.
Green Iron SA has commenced discussions with the South Australian and Federal Governments to secure the necessary partnerships and infrastructure required to enable its role in establishing an Australian green iron industry at pace.
