Syngas, a combination of CO & H2, is used as a reducing agent to convert iron ore to iron. Both CO and H2 act as reducing agents, with CO converted to CO2 and H2 to water vapour.
An interesting effort to recycle the CO2 from this process has been initiated by a partnership between ArcelorMittal & SekiSui Chemicals, where the latter would convert the CO2 captured from the reduction process to syngas (is this through a co-electrolysis of water & CO2?), and then send the syngas back again into the first stage to reduce iron ore - https://www.thechemicalengineer.com/news/partnership-to-capture-and-reuse-co2-in-steel-production/
A similar project, though at smaller scales, has been initiated by India's steel major, Tata Steel. The company has started a project that will capture and reuse on site the captured CO2 from blast furnace gas. The facility will help abate about 1500 tonne of CO2 per year. ( https://www.financialexpress.com/industry/tata-steel-commissions-carbon-capture-and-reuse-plant-to-promote-circular-carbon-economy/2330257/ )
If the electrolysis process is carried out with renewable electricity (say, solar power), we are talking about zero process emissions. The exhaust CO2 emissions from use of fuels for providing the heat would still be there, but recycling process CO2 emissions is a pretty good start, given that the steel industry is the single largest industrial emitter of CO2 in the world (excluding the power generation industry) - about 2.5 billion tons of annual CO2 emissions or 7% of total
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