Steel company Salzgitter and Binding Solutions will conduct trials of cold agglomerated pellets in Salzgitter’s blast furnace and direct reduction plant technology significantly reduces energy demand and CO2 emissions.
The Salzgitter Group (“Salzgitter”) and Binding Solutions Ltd (“BSL”) have entered into an MOU to undertake trials of BSL’s cold agglomerated pellets (“CAPs”) for blast furnace (“BF”) and direct reduction applications (“DR”). The process technology of BSL could, if the trials have positive results, complement Salzgitter’s on site ore processing within the Salcos-Salzgitter Low CO2 Steelmaking programme.
According to Salzgitter, the tests will be conducted on multiple ore types at a number of Salzgitter’s production facilities, including DR testing at the 2500 kg/d μDRAL innovation project, the world’s first DR plant flexibly operated with hydrogen and natural gas in an integrated steel mill. Blast furnace tests will be carried out at other Salzgitter Group facilities.
The goal of the trials is to demonstrate the value of BSL’s CAPs in blast furnaces and prove the benefits of BSL’s DR CAP technology through a world recognised test facility, Salzgitter said. The CAPs will be produced from various ore types at BSL’s world leading Technology Centre on Teesside, UK before being shipped to Germany. ##BSL’s patented and proprietary CAPs can be used to replace standard induration and sinter materials in blast furnaces and DR plants. In comparison to traditional induration and sinter processes, BSL’s CAPs cut energy usage and CO2 emissions by up to 80% and 70% respectively, while also delivering substantial economic and operational benefits.
Low-carbon iron ore pellets for steel production
Salzgitter’s Timo Naleschinski, Head of Purchasing Raw Materials, said: “Through our Salcos program we are working with leading technical and research partners to achieve our mission of producing virtually climate-neutral steel. BSL’s innovative technology has the potential to ensure a secure and diverse supply of high quality, low carbon iron ore pellets for our steel production process helping us to achieve our ambitious climate goals.” Jon Stewart, CEO of BSL, added: “The trials with Salzgitter are a significant opportunity for us to rapidly advance the development of our DR CAPs with one of Europe’s largest steel producers, recognised globally for their technical capabilities. Partnering with Salzgitter will enable us to benefit from their significant expertise and access to their unique μDRAL plant, allowing us to rapidly increase the technology readiness level of our DR CAPs. We believe that our CAP technology has the potential to deliver a stable, long-term supply of high-quality low-emissions pellets for the European green steel industry.”
Binding Solutions, founded in Middlesbrough, UK, by former British Steel scientists, has developed a patented process for significantly reducing carbon emissions from steel production. According to the company, BSL’s technology can also be deployed to monetise waste fines from metals production by converting them into CAPs that can be added back to the furnace, the company said.
In May 2025, BSL announced the signature of a Memorandum of Understanding to assess the potential for a state-of-the-art iron ore CAP plant at HES International’s HBTR terminal in Rotterdam, the largest dry bulk terminal in Europe.
Source: Salzgitter AG
