Latest market news

Q&A: Boston Metal Brazil’s sales to start in early 2025

  • Market: Metals
  • 26/11/24

Metals technology company Boston Metal expects to start commercialisation in Brazil in early 2025. The company, which has developed molten oxide electrolysis (MOE) technology to improve metals extractions, initially will focus on extracting so-called "high-value" metals from tin slags at its plant in Minas Gerais state.

The move is part of the company's effort to offer greener metals to the market and comes at the time when the company is developing MOE technology in the US to produce green steel.

Metals reporter Carolina Pulice talked with Boston Metal's Brazil commercial director Gustavo Macedo about MOE technology and the company's plans for the future. The interview has been translated from Portuguese.

Can you explain what MOE technology is?

MOE technology was developed at the Massachusetts Institute of Technology in the 1980s. It uses the electrolysis process on metals, a process that has been known for a long time. What is different about MOE is that its platform can be used to separate an infinite number of metals.

Our company started to use MOE technology in iron ore to make it greener. After it has gone through the electrolysis process, iron is practically pure and releases only oxygen and then [you have] green steel.

The great advantage of this process on iron ore is that you can use the metal with any grade, different from the hydrogen route that demands high contents of iron ore.

And what will the operation in Brazil be like?

Our focus in Brazil is to extract three metals from local tin slags — tantalum, niobium and tin — from our plant in Minas Gerais state. It is a rich region and has plenty of cassiterite, with a lot of mining waste available.

At our new plant in Minas Gerais, we will start producing ferro-tin and a ferro-tantalum niobium alloy. We are already operating our pilot and demonstration plants. We plan the first commercialisation at the beginning of 2025.

Our main market is likely to be China, where we will export our material to be used in the electronics industry.

The move comes at a time when more consumers are demanding greener supply chains. And this is an advantage for us because Minas Gerais state can already secure 100pc renewable electric energy.

The global tantalum chain is very complex because more than half of this metal comes from conflict regions in Africa.

Can you tell us a bit more about Boston Metal's operations in the US?

Our goal there is to develop MOE technology for the production of green steel. Steelmakers would add this process to their operations by replacing their blast furnaces with MOE technology, allowing them to produce pure iron by utilising electricity instead of coking coal.

Our headquarters in the US is already at the stage where they are building our first demonstration plant.

MOE technology at present demands 4MWh of energy per tonne of steel. Electric arc furnaces that process scrap currently have consumption of 0.5-0.8MWh/t.


Sharelinkedin-sharetwitter-sharefacebook-shareemail-share

Related news posts

Argus illuminates the markets by putting a lens on the areas that matter most to you. The market news and commentary we publish reveals vital insights that enable you to make stronger, well-informed decisions. Explore a selection of news stories related to this one.

News
25/11/24

US’ Peabody to buy Anglo’s Australian met coal assets

US’ Peabody to buy Anglo’s Australian met coal assets

Singapore, 25 November (Argus) — US coal producer Peabody Energy has agreed to acquire the bulk of coking coal assets that UK-South African mining firm Anglo American is seeking to divest as it exits the coal sector. Peabody plans to buy Anglo's majority stakes, at up to $3.8bn, in four metallurgical coal mines — Moranbah North, Grosvenor, Aquila and Capcoal — located in Australia's Bowen Basin, with the transaction expected to close by mid-2025 and subject to customary closing conditions, the producer said in a statement. With the acquisition of coal mines, Peabody's combined US-Australia production will rise from 10.6mn short tons/yr at present, to an estimate of 11.3mn st/yr (10.25mn t) by 2026, according to Peabody, strengthening the producer's position in the premium hard coking coal (PHCC) market. Moranbah North, Grosvenor and Aquila are PHCC mines, while Capcoal produces a combination of PHCC, pulverised coal injection (PCI) and other coal grades. At present, Australian low volatile hard coking coal, or tier-2 coking coal, accounts for 55pc of Peabody's 7.4mn st in coking coal sales, but the acquisition of new assets will bring PHCC's share up to 51pc and reduce its tier 2 coal to 24pc. Peabody also produces high volatile A coal in the US, accounting for 12pc of sales this year. In addition to the sale of assets to Peabody, Anglo has agreed to sell the Dawson mine in Central Queensland to Indonesian mining company PT Bukit Makmur Mandiri Utama (BUMA) for $455mn. Earlier this month, Anglo agreed the sale of its 33pc share of the Jellinbah Group coking coal joint venture to partner Australia-based Zashvin at $A1.6bn ($1.04bn). In May, Anglo announced plans to exit its coal, platinum, nickel and diamond businesses shortly after rejecting repeated takeover bids from Australian resources firm BHP. These deals come against a backdrop of a challenging price environment for steel making and subsequent weakness in coking coal prices, implying tight margins for coal producers. After reaching a high of $336.50/t fob Australia, the premium low volatile coking coal fell steadily throughout this year to reach $176.50/t in September, before recovering to remain in the $201-208/t range for most of November. In addition to a less than friendly investment climate for coal projects, Australia's Queensland state and New South Wales (NSW) state governments increased royalties on coal sales in 2023 and 2024 respectively, putting further strain on Australian miners already facing inflationary pressure from wages, equipment and fuel costs. Lower coking coal prices this year have translated to reduced royalty payments, but have yet to stem the tide of consolidations and asset sales as mining companies exit the sector. In August, Australia-based diversified metals producer South32 completed the sale of its Illawarra coking coal operations in NSW to an entity owned by Singapore-based Golden Energy and Resources (Gear) and Australia's M Resources for $1.65bn. In the US, rising mining costs and weak seaborne prices for most of this year led to the closure of smaller high-cost operations and mergers such as that of Arch Resources and Consol Energy to form Core Natural Resources , expected to close by the first quarter of 2025. In July, trading firm Glencore completed its acquisition of a majority stake in Elk Valley Resources, the coking coal division of Canadian mining firm Teck Resources, growing the former's thermal and coking coal production to 130mn t/yr. By Siew Hua Seah Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Find out more
News

US alleges Nippon dumped HRC at higher rates


21/11/24
News
21/11/24

US alleges Nippon dumped HRC at higher rates

Houston, 21 November (Argus) — The US government alleged that Japanese steelmaker Nippon Steel dumped hot-rolled (HR) flat steel products at higher rates than previously determined. The US Department of Commerce's International Trade Administration (ITA) determined that during the period from October 2022 through September 2023, Nippon sold HR steel flat products with a weighted-average dumping margin of 29.03pc, up from the 1.39pc dumping margin the ITA determined for the prior period of October 2021 through September 2022. Tokyo Steel Manufacturing, which was also investigated, was determined to have not sold HR flat steel below market value, unchanged from a prior review. US imports during the period from October 2022 through September 2023 of the investigated items from Japan were 202,000 metric tonnes (t), down from the 293,600t imported in the same period the prior year, according to customs data. The original investigation into imports of Japanese flat-steel products was concluded in 2016. The ITA is now reviewing the time period of October 2023 through September 2024 and expects to issue the final results of these reviews no later than 31 October 2025. The US imported 235,700t of the investigated products from Japan during that time, customs data showed. By Rye Druzchetta Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

News

Recent deep-sea and short-sea cfr Turkey scrap deals


21/11/24
News
21/11/24

Recent deep-sea and short-sea cfr Turkey scrap deals

London, 21 November (Argus) — A summary of the most recent deep-sea and short-sea cfr Turkey ferrous scrap deals seen by Argus. Ferrous scrap short-sea trades (average composition price, cif Marmara) Date Volume, t Price, $ Shipment Buyer Seller Composition Index relevant 19-Nov 5,000 345 November Izmir Greece HMS 1/2 80:20, shred Y 19-Nov 2,000 342 November Izmir Malta HMS 1/2 80:20, shred Y 12-Nov 3,000 348 November Izmir Romania HMS 1/2 80:20 N 12-Nov 5,000 350 November Izmir Croatia HMS 1/2 80:20 N 12-Nov 5,000 350 November Turkey France HMS 1/2 80:20 Y 12-Nov 10,000 351 November Marmara France HMS 1/2 80:20 Y Ferrous scrap deep-sea trades (average composition price, cfr Turkey) Date Volume, t Price, $ Shipment Buyer Seller Composition Index relevant 20-Nov 40,000 345 (80:20) December Marmara Scandinavia HMS 1/2 80:20, shred, bonus Y 20-Nov 20,000 340 (80:20) December Iskenderun UK HMS 1/2 80:20 Y 19-Nov 30,000 344 (75:25) December Izmir Cont. Europe HMS 1/2 80:20, bonus N 19-Nov 40,000 353 (80:20) December Iskenderun USA HMS 1/2 80:20, shred, bonus Y 15-Nov 40,000 354 (80:20) December Iskenderun Cont. Europe HMS 1/2 80:20, shred, bonus Y 15-Nov 40,000 356 (80:20) December Marmara Cont. Europe HMS 1/2 80:20, shred, bonus Y 14-Nov 20,000 350 (80:20) November Iskenderun UK HMS 1/2 80:20 N 13-Nov 40,000 356 (80:20) December Marmara Cont. Europe HMS 1/2 80:20, shred, bonus Y 13-Nov 40,000 353 (80:20) December Marmara Cont. Europe HMS 1/2 80:20, shred, bonus Y Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

News

Japan’s crude steel output drops further in October


21/11/24
News
21/11/24

Japan’s crude steel output drops further in October

Tokyo, 21 November (Argus) — Japan's crude steel production in October fell on the year for an eighth straight month, partly because of lower steel demand from the construction sector. The country produced 6.9mn t of crude steel in October, down by 7.8pc from a year earlier, according to preliminary data released by industry group the Japan Iron and Steel Federation (JISF) on 21 November. Crude steel production by basic oxygen furnace (BOF) fell by 6.8pc on the year to 5.1mn t, marking the eighth consecutive month of year-on-year fall. Crude steel output by electric arc furnace (EAF) declined for a third straight month by 10.5pc to 1.8mn t. A double-digit output fall by EAF is partly reflecting the weaker steel demand in the construction sector. The country's steel demand is heavily dependent on the automobile and construction sectors, and steel products for each industry are generally produced using the BOF and EAF methods respectively. Booked orders of ordinary steel for construction use in September fell by 11.3pc on the year to 651,035t, marking the fourth consecutive month of year-on-year decline, according to the separate data released by JISF on 18 November. The country's major steel producer JFE on 6 November revised downward its crude steel output to 22.4mn t for the current fiscal year ending 31 March 2025. This is 600,000t lower than its initial figure announced in August, partly owing to weaker than anticipated steel demand from the construction sector, according to the steel company. Rising material costs and labour shortages are causing delays in major construction projects, JFE said, adding that lower steel demand in the construction industry is "becoming even more obvious.". By Yusuke Maekawa Japanese ferrous output ('000't) Oct '24 Sep '24 Oct '23 m-o-m ± % y-o-y ± % Crude steel production Ordinary steel 5,328 5,098 5,792 4.5 -8.0 Specialty steel 1,597 1,525 1,719 4.7 -7.1 Total crude production 6,925 6,623 7,511 4.6 -7.8 Crude steel production method Basic oxygen furnace 5,101 4,794 5,473 6.4 -6.8 Electric arc furnace 1,824 1,829 2,038 -0.3 -10.5 Pig iron production 5,075 4,802 5,405 5.7 -6.1 Source: Japan Iron and Steel federation *Based on preliminary data Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

News

ArcelorMittal could close two service centres in France


20/11/24
News
20/11/24

ArcelorMittal could close two service centres in France

London, 20 November (Argus) — Europe's largest steelmaker ArcelorMittal is contemplating closing two service centres in France as part of a restructuring at its Centres de Services business in the country. The company informed staff on Tuesday that it might close its Reims and Denain sites because of a "sharp drop in activity among its industry and automotive customers", the company told Argus . Negotiations with trade unions will begin shortly, it said. Rumours about the potential closures have been circling since just before a large industry event in Hannover, Germany, in late October. Further consolidation and restructuring is expected throughout the European service centre market because of the fall in real consumption, and the difficult financial position it has caused for some processors. Most service centres have been selling processed sheet at a loss in recent months, because of weak end-consumption. German cold-roller Bilstein, that sells predominantly to the automotive industry, will reduce headcount and is contemplating closing one of its five lines, or reducing shifts across its business. There have also been market discussions about ArcelorMittal selling other automotive-facing service centres in Europe, as part of a wider reorganisation of the EU processing sector. Germany's largest steelmaker, ThyssenKrupp, has closed some of its distribution sites in its home country. Participants note the service centres are not part of ThyssenKrupp Steel Europe, which is still in talks with Daniel Kretinsky over taking a 50pc share in the business. ThyssenKrupp's ownership change could have wider ramifications for the service centre and steelmaking sector in general, with Kretinsky open to finding a strategic partner. By Colin Richardson Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Generic Hero Banner

Business intelligence reports

Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.

Learn more