Air Liquide and ArcelorMittal Join Forces to Accelerate the Decarbonization of Steel Production in the Basin of Dunkirk

18 March 2021

Air Liquide and ArcelorMittal have signed a Memorandum of Understanding (MOU) with the objective of implementing solutions to produce low-carbon steel in Dunkirk. The two companies are joining forces to transform the steel production process through the development of innovative solutions involving low-carbon hydrogen and CO2 capture technologies. This partnership is the first step towards the creation of a new low-carbon hydrogen and CO2 capture technologies ecosystem in this major industrial basin.

Air Liquide and ArcelorMittal have signed an MOU that aims to contribute significantly to the decarbonization of the Dunkirk industrial basin. In the context of the Paris Agreement, the European Commission’s Green Deal, and in line with Air Liquide and ArcelorMittal’s commitments to energy transition, the project will reduce yearly CO2 emissions from ArcelorMittal’s steel-making facilities in Dunkirk by 2.85 million tons by 2030. Air Liquide and ArcelorMittal have jointly applied for large projects funding under the Important Project of Common European Interest (IPCEI) scheme for hydrogen. Funding from European and/or French schemes supporting decarbonization is key for the implementation of the project.

ArcelorMittal is ready to implement an innovative production unit on its Dunkirk site, combining two steel production technologies – DRI: direct reduced iron unit, and submerged arc furnace – in dimensions never seen before. As a low-carbon technology, the DRI and submerged arc furnace unit will enable the production of steel with lower CO2 emissions. This initiative was the subject of a preliminary study announced by ArcelorMittal last October. It comes in addition to the initiatives already implemented by ArcelorMittal on its Dunkirk site to lower its CO2 emissions.

Air Liquide will support this strategic initiative through the massive supply of low-carbon hydrogen and the implementation of CO2 capture technologies in Dunkirk, one of Air Liquide's historical industrial basins in France. The Air Liquide group has developed a unique expertise both for hydrogen all along the value chain, from production and storage to distribution, as well as CO2 capture technologies. Leveraging this know-how and in line with its Climate objectives, Air Liquide is committed to develop sustainable solutions in supporting its customers in the steel industry to reduce carbon emissions.

This partnership between Air Liquide and ArcelorMittal is a first step towards the creation of an ecosystem at the forefront of low-carbon hydrogen and CO2 capture solutions that will be a source of competitiveness and attractiveness for various players in the Dunkirk industrial and port basin.

François Jackow, Executive Vice-President and a member of the Executive Committee supervising Europe Industries activities, said: « Decarbonizing the Industry is at the heart of Air Liquide’s strategy and we are committed to accompanying our customers with a wide range of innovative solutions. The Group will contribute its unique expertise along the entire hydrogen supply chain developed over the last 50 years and its mastery of CO2 capture technologies. The time to act is now, and Air Liquide is pleased to support ArcelorMittal in this project aiming to decarbonize a major industrial basin. »

Geert van Poelvoorde, CEO of ArcelorMittal Europe, said: « This project represents a major technological breakthrough and confirms ArcelorMittal’s willingness to profoundly and sustainably transform our production technologies, in line with our objectives to reduce our CO2 emissions by 30% by 2030 and achieve carbon neutrality by 2050. We count on the strong support of the French and European authorities in order to decarbonize the steel industry and are hopeful that this project will receive the support it needs to deliver large-scale CO2 emissions savings. The partnership with Air Liquide will enable us to further accelerate the decarbonization of our steel production and contribute to the creation of a low carbon industrial and port basin. »

About Air Liquide

A world leader in gases, technologies and services for Industry and Health, Air Liquide is present in 78 countries with approximately 64,500 employees and serves more than 3.8 million customers and patients. Oxygen, nitrogen and hydrogen are essential small molecules for life, matter and energy. They embody Air Liquide’s scientific territory and have been at the core of the company’s activities since its creation in 1902.

Air Liquide’s ambition is to be a leader in its industry, deliver long term performance and contribute to sustainability - with a strong commitment to climate change and energy transition at the heart of its strategy. The company’s customer-centric transformation strategy aims at profitable, regular and responsible growth over the long term. It relies on operational excellence, selective investments, open innovation and a network organization implemented by the Group worldwide. Through the commitment and inventiveness of its people, Air Liquide leverages energy and environment transition, changes in healthcare and digitization, and delivers greater value to all its stakeholders.

Air Liquide’s revenue amounted to more than 20 billion euros in 2020. Air Liquide is listed on the Euronext Paris stock exchange (compartment A) and belongs to the CAC 40, EURO STOXX 50 and FTSE4Good indexes

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About ArcelorMittal

ArcelorMittal is the world's leading steel and mining company, with a presence in 60 countries and primary steelmaking facilities in 17 countries. In 2020, ArcelorMittal had revenues of $53.3 billion and crude steel production of 71.5 million metric tonnes, while iron ore production reached 58.0 million metric tonnes.

Our goal is to help build a better world with smarter steels. Steels made using innovative processes which use less energy, emit significantly less carbon and reduce costs. Steels that are cleaner, stronger and reusable. Steels for electric vehicles and renewable energy infrastructure that will support societies as they transform through this century. With steel at our core, our inventive people and an entrepreneurial culture at heart, we will support the world in making that change. This is what we believe it takes to be the steel company of the future.

ArcelorMittal is listed on the stock exchanges of New York (MT), Amsterdam (MT), Paris (MT), Luxembourg (MT) and on the Spanish stock exchanges of Barcelona, Bilbao, Madrid and Valencia (MTS).

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