US Steel and CarbonFree sign MoU to capture CO2 emissions at Gary Works mill

United States Steel Corp., Pittsburgh and CarbonFree Chemicals Holdings LLC, San Antonio, have signed a non-binding memorandum of understanding (MoU) to jointly pursue the capture of CO₂ emissions generated from U.S. Steel’s Gary Works manufacturing plant using CarbonFree’s SkyCycle technology.

If a definitive agreement is reached, the companies say the project is expected to capture and mineralize up to 50,000 metric tons of CO₂ per year, the equivalent to carbon emissions from nearly 11,000 passenger cars.

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CarbonFree’s SkyCycle technology captures carbon emissions from hard-to-abate industrial sources before entering the atmosphere, converts the CO₂ into the specialty chemical precipitated calcium carbonate (PCC) and produces hydrochloric acid (HCI) as a co-product.

“As we aim to widely introduce and scale our technology to industrial facilities across the globe, we are thrilled for the possibility of bringing our SkyCycle technology’s carbon capture capabilities to U.S. Steel’s Gary Works plant, one of the largest integrated steel mills in North America,” CarbonFree CEO Martin Keighley says. “We are committed to working closely with U.S. Steel to achieve their sustainability goals and to further our mission of helping to enable the world’s transition to net zero carbon emissions.”

Located in Gary, Indiana, U.S. Steel’s Gary Works mill has annual production capability of 7.5 million net tons of raw steel per year. The companies say the MoU establishes a framework for discussions regarding the formation of a commercial venture. The decision between CarbonFree and U.S. Steel to enter into a definitive agreement is expected to be made prior to the end of 2023, and if a final agreement is executed, the parties are targeting 2025 for commencement of operations. The parties may also consider collaborating on more carbon capture, utilization and storage projects in the future.

“We are eager to enter the next phase of discussions with CarbonFree to explore the possibility of meaningful CO₂ emission reductions in our operations in a capital efficient manner,” says Richard L. Fruehauf, SVP—Chief Strategy and Sustainability Officer at U.S. Steel. “Working with CarbonFree could be a meaningful step in our efforts to decarbonize the Gary Works plant while developing technology and knowhow that we could apply to other facilities within our footprint. These potential collaborations are critical to U.S. Steel as we continue our mission of providing profitable steel solutions for people and planet.”

According to CarbonFree, its SkyCycle technology is modular, scalable and patented and is designed to directly capture CO₂ emissions from industrial emitters. The technology produces PCC for sale into the global specialty chemicals market, and calcium carbonate for the sequestration of CO₂. PCC is a high-value product used for a variety of industrial purposes, including in the manufacturing of paper, plastics, ceramics, paints, coating, adhesives, sealants, rubber and cleaning products. Additionally, CO₂ that is converted to calcium carbonate can be permanently stored as an environmentally friendly mineral.