8 DECEMBER 2022IN MYOPINIONMining is one of the main economic activities in Brazil, especially in the State of Minas Gerais. The country is the second largest iron ore producer in the world (accounting for 19 percent of global production), and Minas Gerais holds around 61 percent of national output. This state also outstands as a global leader in niobium (75 percent of global production), and is also rich in gold, zinc, phosphate, graphite, bauxite, and limestone deposits, among others, according to the Brazilian Mining Institute (IBRAM). Steel industry is intrinsically associated with mining operations. Iron ore is the input that enables producing pig iron, cast iron and steel. In order to obtain special characteristics, other metals and elements are added in. The mining and steel industries, since they generate inputs for essential sectors, have a strong impact on national GDP. They have had a good performance in Brazil, with rising production and sales volumes, while attracting investments and offering excellent growth perspectives in the next few years. At the same time, they face the challenge of mitigating their socio-environmental impacts and producing in a more sustainable way, within the scope of the ESG agenda.One of their impacts is related to the mineral coal, an extractive product used by the steel industry all over the world and that generates metallurgical coke, a highly polluting fuel. In Brazil, the steel industry has followed a different path, with the country being a global leader in the production and consumption of charcoal and the only one to utilize renewable sources: according to the Brazilian Timber Industry Association (IBÁ), approximately 90 percent of the charcoal produced in the country come from reforestation areas. Adhesion to the global commitment to reduce greenhouse gas emissions - assumed by hundreds of countries in the Paris Agreement and at COP-26 -, and the war between Russia and Ukraine have both accelerated the transition into renewable energy sources - or, at least, discussions about that. If, on one side, mineral coal production might be affected, on the other side new opportunities are coming up to increase the consumption of niobium, which is employed, in addition to batteries, to increase the resistance of automotive steels, thus reducing the weight of vehicles and contributing to increase the autonomy of electric cars ­ a market that has become stronger due to the trend to replace fossil fuels. The fact is that there is room for growth in the mining and steel industries in Brazil given the fundamental role they play in the economy. However, in order to live up to that, they will need to tread two paths, simultaneously: innovation and sustainability. By Paulo Novaes, Industrial Operations Director, Aperam South AmericaPaulo NovaesINNOVATION AND SUSTAINABILITY: STAINLESS STEEL SOLUTIONS FOR THE MINING INDUSTRY
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