The Australian government has approved Posco Holdings' plan to build a low-emissions iron-ore processing plant at Port Hedland in Western Australia. The project is estimated to cost about A$4.4bn ($3bn) and will have annual capacity of roughly two million tons of iron. It will initially use natural gas instead of coal, with green hydrogen seen as a later replacement for gas. The final investment decision still depends on approval from Posco's partners, including Japan's Marubeni and China Steel. First output is targeted for 2031. The steel industry accounts for about 8% of global CO2 emissions, making projects like this important for testing how low-carbon iron production can scale.
