Business idea: an industrial concept in three steps

Europe is investing considerable resources in transforming society to reduce greenhouse gas emissions. Biomass with very low climate impact, originating from forestry and agriculture, can be used for the production of biogas, biofuels, heat and electricity.

Biogas and biofuels generally have a higher added value than heat and electricity and can therefore offer higher returns for forestry and agriculture, as well as making larger amounts of biomass profitable to utilise.

Biogas in the form of synthetic gas or ‘syngas’, which is mainly a mixture of carbon monoxide and hydrogen, has the same composition and chemical properties as the reformed (fossil) natural gas used in the current production of sponge iron in shaft furnaces.

Now that more and more companies are shutting down their blast furnaces to reduce their high carbon dioxide emissions and switching to scrap-based steel production, there is an imminent risk of a shortage of high-quality scrap.

This is a serious threat to Bergslagen’s various specialised steel mills, which could be averted with locally produced sponge iron, tailored to the mills’ need for high-quality raw materials.