Western Australia has been announced as the site for what is claimed to be the nation’s largest ironmaking electric smelting furnace, with Kwinana chosen as the preferred location for the NeoSmelt consortium’s pilot project.
Premier Roger Cook emphasised the project’s transformative potential, saying, “Securing NeoSmelt for Kwinana positions WA at the cutting edge of the global push to slash emissions from steel production—and means our Pilbara iron ore will be processed right here in WA.”
The NeoSmelt consortium, a collaboration between BlueScope, Rio Tinto, and BHP, aims to test new technology that eliminates the need for metallurgical coal in iron production.
Instead, the project will use renewable energy to convert Pilbara iron ore into molten iron, a key ingredient for steel manufacturing.
“[This is] a unique and transformative project to help decarbonise the steel industry,” said BlueScope Chief Executive Australia Tania Archibald.
“The progress made during the pre-feasibility stage is a testament to the collaboration of all parties involved.”
According to the government, Kwinana’s selection followed an extensive assessment of sites across Australia, recognising its status as a premier industrial hub for green industries.
The pilot plant will be a critical component in WA’s broader strategy to reduce emissions in the global steelmaking process, which accounts for around 8% of global carbon emissions.
Mines and Petroleum Minister David Michael highlighted the broader implications for the state. “The NeoSmelt project will provide long-term value for WA and our trading partners and support the longevity of the iron ore industry in Western Australia,” he said.
Joining the consortium is Woodside Energy, which will act as an equal equity participant and energy supplier, pending final commercial agreements.
Liz Westcott, Woodside’s Executive Vice President and Chief Operating Officer, stated, “Woodside supports the NeoSmelt project’s goals of exploring lower-emissions steelmaking pathways for Pilbara iron ores and unlocking new skills and capabilities through the energy transition.”
The project is currently in its pre-feasibility phase, with a final investment decision expected in 2026 and potential commissioning by 2028.
Rio Tinto Iron Ore Chief Executive Simon Trott underscored the importance of the initiative, saying, “We must find better ways to produce the most commonly used metal in the world while meeting the needs of our planet and our climate objectives.”
The technology being trialled in Kwinana represents a promising pathway for decarbonised iron ore processing, aligning with global efforts to produce near-zero emission steel.
“A successful pilot plant of this scale would be a huge achievement,” said BHP WA Iron Ore Asset President Tim Day.
“Getting it right would be a major step forward in setting up WA and Australia to be an important part of a low greenhouse gas emission future.”
