Innovation and sustainability in the energy industry
The latest edition of Inside Energy Transition comes in both English and Spanish and includes a look at the latest innovations in steel production efficiency, progress markers for Ternium's decarbonization plan, and the first hydrogen trials in Italian steelmaking being conducted by Tenaris. Also of interest are articles on Tenova's expansion plan for DRI modules, and the importance of community support for Tecpetrol’s lithium exploration operations in Jujuy, Argentina.
Consteel® technology has arrived to revolutionize steel production at Tenaris's seamless pipe operation in Campana, Argentina. Nearly two years of planning, coordination and execution went into designing, transporting, assembling and installing the first electric arc furnace with Consteel® technology at the TenarisSiderca plant in the province of Buenos Aires. With a production capacity of 950,000 tons of liquid steel for seamless pipes, the furnace poured its first steel on August 21, 2024—not only a major achievement for the Techint Group as a whole, but also a record for installation times, thanks to the efforts of its construction arm, Techint Engineering & Construction.
In another article in this issue, José Fonrouge, Global Sustainability Senior Director, outlines how Ternium is intensifying its decarbonization strategy. The latest Sustainability Report provides an update on progress regarding the company’s objectives, highlighting the integration of Usiminas, the Brazilian flat steel producer, into its global sustainability framework. Key initiatives include increasing the use of scrap in Brazil from 11% to 16% next year. The company is also well into the construction of a new steel mill in Pesquería, Mexico, expected to be the most sustainable in Latin America upon completion in 2026. Meanwhile, in Argentina, Ternium is developing a 99-MW wind farm set to begin activity by the end of 2024. The project is expected to reduce up to 90% of Scope 2 emissions in the company’s operations, significantly lowering indirect greenhouse gas emissions from purchased electricity.
In line with the goals of the European Union’s Fit for 55 package, Tenaris has committed to achieving a 30% reduction in its global CO₂ emissions by 2030. In collaboration with other industry leaders and Techint Group companies, the company is running tests with clean fuel technologies at its plant in Dalmine, Italy, advancing its commitment to reducing carbon emissions. These initiatives align with the company’s decarbonization targets set in 2021, which aim for a global reduction in specific carbon dioxide emissions using 2018 levels as the baseline.
Meanwhile, Tenova, the Techint Group company specializing in solutions for the metallurgical industry, is experiencing a boom in global demand for its direct reduction of iron (DRI) technologies. This trend was evident at the AISTech conference in Columbus, Ohio, earlier this year, where the wave of enthusiasm for DRI technologies prompted organizers to relocate exhibitors to a larger hall, previously designated for blast furnace technologies, which have seen declining interest. This shift underscores the industry's move towards sustainability and decarbonization, areas where Tenova HYL is rapidly gaining ground.
Finally, we turn to the community playing a vital role in advancing sustainability through lithium exploration. In Jujuy, Argentina, Tecpetrol has managed to obtain a critical social license from the communities of Rinconadillas and Quebraleña, located near Laguna de Guayatayoc. This is a major achievement and comes after nearly a year of collaboration and relationship-building with local stakeholders. Tecpetrol is now navigating the environmental permits process with the Provincial Mining Environmental Management Unit (UGAMP), which will grant the company access to 75% of the project area once approved. "What we’ve achieved so far, and the way we’ve done it, is something to be proud of. But there’s still a long road ahead," said Jorge Dimópulos, Vice President of Lithium at Tecpetrol.