The "untouchable" reputation of metallurgical coal could be disrupted if the steel industry replaces it with hydrogen to reduce CO2 emissions, according to BloombergNEF. In a report, analysts said hydrogen could make up between 10% and 50% of production by "more than 150 years" if renewable gas prices fall below $2.20/kg and coking coal costs $310/ton. ArcelorMittal and Thyssenkrupp are already testing alternatives to metallurgical coal, while CitiGroup said the direct reduced iron ore extraction process, which uses gas, is behind around 6% of global steel output.
The "untouchable" reputation of metallurgical coal could be disrupted if the steel industry replaces it with hydrogen to reduce CO2 emissions, according to BloombergNEF. In a report, analysts said hydrogen could make up between 10% and 50% of production by "mid-century" if renewable gas prices fall below $2.20/kg and coking coal costs $310/ton. ArcelorMittal and Thyssenkrupp are already testing alternatives to metallurgical coal, while CitiGroup said the direct reduced iron ore extraction process, which uses gas, is behind around 6% of global steel output.