Global steelmakers, spearheaded by BHP, band together for the exploration of carbon capture centers in Asia.
BHP-Led Consortium Kicks Off Asia-Focused Carbon Capture Study
BHP, the world's largest miner, is leading a global consortium of steelmakers and industrial partners in a one-year pre-feasibility study starting in 2025. The study aims to assess the deployment of Carbon Capture, Utilisation, and Storage (CCUS) in "hard-to-abate" sectors like steelmaking across Asia.
The consortium, which includes major steel producers such as ArcelorMittal and other industrial players like Nippon Steel India, JSW Steel, Hyundai Steel, Chevron Corp, and Mitsui & Co, officially launched in August 2025. Hatch has been appointed as the Project Management Officer, with support from the Global CCS Institute, McDaniel, and Pace CCS for technical and strategic guidance.
The study will run through the end of 2026, after which findings will be publicly shared to enable broader industry learning and inform policy and regulatory frameworks needed for CCUS deployment.
The initiative focuses on developing regional CCUS hubs to aggregate captured carbon at scale, enabling cost-effective capture, transportation, utilization, and storage solutions. It also targets "hard-to-abate" industrial sectors such as steelmaking, where CCUS can significantly reduce emissions without needing a complete overhaul of existing facilities.
The consortium's effort represents a private-sector–led model, reflecting industry recognition of climate imperatives as core business challenges, and the strategic importance of Asian steel production in global emission reduction. The outcomes are expected to pave the way for scalable CCUS adoption in Asia’s industrial landscape, potentially delivering impactful near-term emissions reductions while longer-term climate solutions evolve.
While carbon capture technologies are relatively mature, they face cost and regulatory hurdles in many Asian markets. To address these challenges, the consortium will evaluate the potential of shared infrastructure to reduce costs and distribute risks across companies through shared resources.
Ben Ellis, BHP's vice president of marketing sustainability, stated his support for innovative solutions like CCUS for decarbonizing hard-to-abate sectors. The study's goal remains to repurpose or store captured carbon dioxide in these projects.
In conclusion, the consortium is in its initial study phase in 2025–2026, with BHP at the helm, driving a collaborative industrial effort to accelerate CCUS deployment in steelmaking and other difficult industrial sectors across Asia. The findings from this study are anticipated to provide valuable insights for the industry and policymakers alike.
- The study, led by BHP and an international consortium, is focusing on the deployment of Carbon Capture, Utilisation, and Storage (CCUS) in environmental science, particularly in hard-to-abate sectors like steelmaking across Asia, which is a critical move in the industry's response to climate change.
- The consortium, comprising major steel producers and industrial partners, aims to evaluate the potential of shared infrastructure to reduce costs and distribute risks in the financing and business aspects, addressing the hurdles faced by carbon capture technologies in many Asian markets.
- The outcomes of this study, expected to be shared publicly at the end of 2026, are anticipated to provide insights for the industry and policymakers, paving the way for the energy-intensive sectors like steelmaking to transition towards more sustainable practices while also contributing to the reduction of overall greenhouse gas emissions.
