Xynteo was commissioned to research, analyse and evaluate how a major steel producer could combine generate planet-positive growth
As the fifth largest manufactured commodity in the world by volume, steel represents 7-9% of global emissions. With current projections for 2050 suggesting steel demand could increase by 30% by mid-century, our client wanted to understand how they could develop and scale green steel production.
As one of the world's largest producers, our client is commitment to fighting climate change. Xynteo was approached to explore how they could achieve both their production growth targets and net zero ambitions in a way that did not sacrifice commercial returns.
Across a two-phased process, the project engaged internal teams, upstream suppliers, customers and government to create a forward-looking strategy with an identified range of pilot projects. One of the key activities was conducting an assessment of 12 technology solutions to evaluate their potential to support the client’s market and operational conditions, and modelling prioritised different production routes based on their economic and environmental returns.
Based on this, we developed two lighthouse pilot projects using green hydrogen and identified ready customers baseload demand for low-emission steel.
The project led to an integrated strategy, supported by various teams within our client, to enable leaders to understand and prioritise effective action.
The project identified a potential 26% improvement in commercial returns from a new decarbonised operating model (compared with BAU steel production routes).
Improvement in commercial returns*
Lighthouse projects to enable decarbonisation
Teams engaged to build buy-in and support for the new roadmap
* Improved commercial returns found through a new decarbonised operating model vs. BAU steel production routes