A Memorandum of Understanding (MoU) was signed today in between the Magnitogorsk Iron and Steel Works (MMK), Russia, and SMS group, Germany. This MoU states the intention of both companies to cooperate in the development and use of decarbonization technologies in order to reduce – potentially to zero – CO2 emissions.
The Memorandum is valid for five years from the date of signing. Pavel Shilyaev, CEO of MMK and Burkhard Dahmen, CEO of SMS group, signed the document jointly.
In the Memorandum, the parties recognize climate protection as one of the most important goals and express interest in studying the possibility of using decarbonization technologies to reduce carbon dioxide emissions in metallurgical production.
The MoU strongly emphasizes the need to further develop technologies for direct iron reduction and highly efficient hydrogen production by electrolysis.
The document states that the parties are interested in identifying potential technical solutions, conducting studies and implementing decarbonization technologies at MMK that can maintain or increase economic performance and improve the environmental situation by reducing or eliminating CO2 emissions.
The result of joint work within the framework of the Memorandum should be a list of projects and initiatives on decarbonization for their possible implementation at MMK.
Commenting on the signed agreement, Pavel Shilyaev noted that, ‟in today's reality, due to the imminent introduction of the EU's cross-border carbon regulation (CBAM), reduction of the 'carbon footprint' is fast becoming one of the key tasks and the biggest challenge for global metallurgy. MMK, committed to the principles of environmental responsibility, cannot stay away from the climate agenda".
Burkhard Dahmen highlighted that his company considers climate protection central to its operation. "SMS is actively and deeply involved in the development of technologies that help ferrous metallurgy businesses to achieve ambitious environmental protection goals – both now and in the long term", said Burkhard Dahmen.