An independent review of Sino Iron's greenhouse gas (GHG) emission performance across the steel supply chain has found that CITIC Pacific Mining's export product, Cape Preston Concentrate, delivers up to a 10 per cent net reduction in carbon emissions intensity, for every tonne of hot metal produced, compared to typical Pilbara hematite fines. 

Conducted by The Crucible Group in late 2022, the report found from mine pit to blast furnace, the use of Cape Preston Concentrate magnetite feedstock provided an approximate 180kg reduction in CO2 emissions for every tonne of hot metal produced, compared to the standard Platts 62 hematite fines reference.

Based on CITIC Pacific Mining's current production, this equates to an annual net CO2 saving of 2.4 million tonnes.

Global steel production is responsible for an estimated 8 per cent of the world's carbon emissions. Most steel cycle emissions occur at the ironmaking stage.

Steel mills are exploring ways to reduce their environmental impact both now and into the future. This includes sourcing the cleanest and most energy-efficient feedstock while these technologies are being developed.

CITIC Pacific Mining (CPM) is a leader in transforming low-grade Australian magnetite ore into a premium high-grade concentrate (65 per cent Fe).

The Crucible Group were tasked with conducting three separate but integrated studies including a GHG Life Cycle Assessment of the production of magnetite concentrate at Sino Iron.

According to the findings: “…the additional energy and greenhouse gas emissions associated with the beneficiation of magnetite on the Sino Iron Project to a high-quality concentrate are clearly outweighed by the consequent emission reduction benefits in downstream ironmaking.

…the most important contribution from miners in a decarbonising world will be supply of higher quality ore. The magnetite industry is well placed to meet this challenge...”

In addition to the net emissions benefit of using its product in ironmaking, here in Australia CPM continues to explore new lower emission technologies, aligned with net zero targets.

“The report affirms previous findings which shows our investment in iron ore value adding here in Australia is making a positive contribution towards lowering emissions in steelmaking,” CPM Chairman and Chief Executive Officer Chen Zeng said.

“Given the significant energy requirements for beneficiation, we see great potential to be a catalyst for the development of emerging renewable energy projects in the area and establishing the Pilbara as one of the world’s leading green energy hubs.”

“In the meantime, our product is delivering an immediate emissions benefit when used as an ironmaking feedstock.”

Sino Iron is the world’s largest seaborne supplier of magnetite concentrate to China, with annual production of over 21 million (wet) tonnes, one of WA’s top ten exporters by value and a major contributor to the Australian economy.

This year marks the tenth anniversary of the first shipment of Cape Preston Concentrate.