Sustainable Steel Production in the Desert: Economic and Technical Assessment of a Hydrogen-Powered Steel Plant in Mauritania
Abstract
The global steel industry is a major contributor to climate change and faces challenges in achieving a carbon-neutral production, hinging on the availability of cost-effective hydrogen produced by renewable energy. Mauritania, with its exceptional solar and wind resources, offers some of the most competitive conditions globally for hydrogen production. Instead of focusing on hydrogen exports, this study explores the technical feasibility and economic viability of establishing a renewable-powered steel plant in Mauritania, utilizing the country’s abundant iron ore reserves. The findings suggest that sustainably produced steel in Mauritania could be cost-competitive with current European prices. With ongoing declines in investment costs for emerging renewable technologies, Mauritania has the potential to become one of the world’s most cost-effective steel producers.
