A newly formed consortium of leading Australian companies have announced plans to establish a major green iron hub in South Australia.
The initiative, dubbed Green Iron SA, brings together Magnetite Mines, Aurizon Holdings, Flinders Port Holdings, and GHD in an ambitious project targeting the state’s untapped Braemar Iron Region.
The consortium plans to leverage South Australia’s magnetite reserves and renewable energy resources to position the state as a key player in the global low-carbon steel supply chain.
The project’s centrepiece involves developing the Razorback Iron Ore Project, which will provide high-purity magnetite essential for green iron production.
Port Pirie, an established industrial city, is set to be transformed into a green iron manufacturing and export hub.
The consortium aims to begin producing direct reduction (DR) grade pellets and manufacturing direct reduced iron in the form of Hot Briquetted Iron (HBI) by the early 2030s.
“The time has arrived for South Australia to take advantage of its massive magnetite endowment. With six billion tonnes of magnetite resources ready to mine, Magnetite Mines is excited to take this important step toward building a world-class green iron industry in South Australia,” Tim Dobson, Managing Director of Magnetite Mines said.
“The Razorback Iron Ore Project will play a pivotal role in supplying the high-grade feedstock necessary for green iron production, which is set to become a key export commodity, supporting our balance of trade as Australia transitions away from fossil fuel exports.
“This project not only aligns with global decarbonisation goals but also positions South Australia as a leader in sustainable mining and green iron production.”
The initiative faces several infrastructure challenges, particularly in water, power, and logistics.
The consortium has begun discussions with both state and federal governments to secure necessary partnerships and infrastructure support.
GHD’s Executive Leader Mike Nolan said the project has considerate potential global impact.
“The use of green hydrogen and renewable energy for steel production has enormous potential in terms of reducing carbon emissions, and we’re excited by the prospect of establishing new standards for the global iron and steel industry,” he said.
The initiative comes as global steel producers face increasing pressure to reduce carbon emissions, with green iron production emerging as a crucial solution for sustainable steel manufacturing.
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