Steel Industry Carbon Capture Infrastructure Gaps Identified

Long-lived blast furnaces necessitate scalable carbon capture and utilization solutions to meet decarbonization goals.

Updated on Oct. 2, 2026 in Energy

Isometric editorial illustration of industrial carbon capture pipe assemblies and filtration drums, representing the technical infrastructure needed for steel industry decarbonization.
Primetals Technologies reported that infrastructure gaps, particularly regarding transport and storage of captured gases, remain a hurdle for scaling carbon capture in global steel production. AI Illustration. Upload story photo >

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Primetals Technologies has highlighted critical infrastructure gaps in scaling carbon capture across the steel industry, which is responsible for eight percent of global energy-related carbon emissions. The firm points to the long operational lifespans of existing blast furnaces as a primary challenge for transition.

Why it matters

Decarbonizing steel production requires a multifaceted approach involving electrification and hydrogen, but the viability of these carbon utilization projects remains contingent on regional energy infrastructure. Aligning these processes is essential as blast furnaces are projected to remain a staple of global steel production for decades.

The Steelanol facility in Ghent converts captured blast furnace gases into 80 million liters of ethanol annually. This process enables a direct reduction of 125,000 metric tons of carbon emissions per year, mitigating a fraction of the sector's eight percent share of global carbon output.

The players

Primetals Technologies

A UK-based engineering firm providing integrated plant solutions, lifecycle services, and digitalization for the global metals industry.

ArcelorMittal Belgium

A major European steel producer currently operating the Steelanol project in Ghent to capture and utilize furnace gases.

The details

The facility functions by capturing gases emitted during the steelmaking process, which are then cleaned and compressed for chemical conversion. This utilization approach transforms raw flue gas into ethanol, effectively repurposing carbon that would otherwise be released. Because captured carbon must be transported or stored, Primetals Technologies notes that local infrastructure constraints often dictate the technical and economic feasibility of such conversion projects.

Timeline

  1. Blast furnaces are currently used globally as a standard in steel production.

  2. Blast furnaces are expected to remain a component of global steel production for future decades.

The Tech Race

The Steelanol project serves as a key industrial benchmark for gas-to-ethanol conversion in the steel sector. This development extends the reach of current carbon capture efforts by demonstrating how steel plants could evolve into broader resource hubs.

The transition to low-carbon steelmaking relies on long-term infrastructure investments that will eventually impact the carbon footprint of construction and automotive manufacturing. Steel plants will gradually transition into resource hubs, though the adoption rate will vary by region based on the local availability of carbon-handling infrastructure.

The takeaway

The trajectory of steel decarbonization depends on whether plants can bridge the gap between carbon capture and regional infrastructure connectivity. Stakeholders should track the adoption of hydrogen-based direct reduction as a potential future alternative to blast furnace carbon utilization.

Further reading

For more on industrial decarbonization, visit /science/energy/.

Source note: This article includes information reported by Steelorbis.

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