Musical Chairs or Can the Iron Range Be a Player in DRI?

摘要

The Mesabi Range has a number of advantages for a direct reduction project: abundant iron ore reserves; existing infrastructure, including spare mining, beneficiation, pelletizing, and material handling facilities; a well-trained workforce; government and union support; access to competitively-priced natural gas and coal; and proximity to integrated steel producers. However, there are some disadvantages, including the ore's lower iron and higher silica contents than competitive materials; distance from mini-mills; and the number of direct reduction projects being developed to serve the North American market. What is required for a successful Minnesota or Michigan DR project? One key is timing. If a project can be developed and built quickly, there will be demand for the product. Much depends on the aggressiveness of the project sponsors - the iron ore must be provided for an attractive price. However, if the project takes several years to develop, it is likely that when the music stops, the Iron Range will be without a seat.