Italian steelmakers boost collaboration for DRI

The Italian steelmakers’ consortium for direct reduced iron procurement, Ceip Scarl Consorzio Elettrosiderurgici Italiani per il Preridotto, has signed an agreement with the recently formed state company DRI d’Italia. This will aim to study opportunities for collaboration to build DRI production plants in Italy, sources close to the matter tell Kallanish.

The memorandum of understanding signed at the premises of local steelmakers’ association Federacciai last week also involves the future commercialisation of DRI and aims to help decarbonise the steelmaking sector, in line with EU net-zero objectives.

According to the agreement, DRI d’Italia will make available to Ceip consortium members about 2 million tonnes/year of DRI when its first production plant reaches full capacity. The agreement aims to replace DRI imports and reduce the use of scrap in Italy.

In February last year, Italian state company Invitalia, the majority shareholder of Acciaierie d’Italia, created DRI d’Italia to build and operate DRI plants. The first facility would be located at Acciaierie d’Italia but the project will also look at decarbonising other steel mills in the country. Invitalia said the new firm benefits from €35 million ($38m) of funding from Italy’s finance ministry. This can be increased to a maximum of €70m, depending on the project’s development (see Kallanish 17 February 2022).

Natalia Capra France