Can South Australia build a green iron industry?

With plenty of high-grade iron ore resources and an established renewable energy system, South Australia has dreams of building its own green iron industry.

Under the banner of ‘Green Iron SA’, a consortium of companies will look to establish a South Australian sector that pairs the state’s high-grade magnetite endowment with downstream green iron manufacturing.

Green Iron SA is made up of Magnetite Mines, Aurizon, Flinders Port Holdings and GHD, four companies with vested interests in the state’s green iron future.

The consortium will look to unlock the Braemar iron region near the New South Wales border, including the Razorback magnetite project, in order to provide the high-grade iron ore needed to fuel green iron production.

Downstream, Green Iron SA would look to transform Port Pirie into a green iron hub for pelletising, manufacturing and bulk export, with the hope of exporting direct reduced iron (DRI) in the form of hot briquetted iron from Port Pirie by the early 2030s.

Green Iron SA is hoping to partner with the South Australian and Federal Governments to fast-track the development of critical infrastructure in water, power and logistics.

“The time has arrived for South Australia to take advantage of its massive magnetite endowment,” Magnetite Mines managing director Tim Dobson said.

“With six billion tonnes of magnetite resources ready to mine, Magnetite Mines is excited to take this important step toward building a world-class green iron industry in South Australia.”

Aurizon head of customers and growth David Steele commented on the logistical opportunities.

“Opening up the Braemar requires an integrated logistics solution that can move vast quantities of iron ore efficiently and sustainably,” he said.

“Aurizon is supporting the development of a project critical to addressing the challenge facing the steel sector’s carbon emissions by providing the rail and freight infrastructure that will make South Australia’s green iron industry globally competitive.”

Flinders Ports would oversee the development of the Port Pirie green iron precinct, while GHD will bring its engineering and sustainability expertise to the consortium.