Strong potential for Quebec iron, supports ArcelorMittal

Quebec is in a good position with its high-purity iron to become “a global benchmark” in the production of steel with a low carbon footprint, according to the president and CEO of ArcelorMittal Mining Canada, Mapi Mobwano.

The manager was in front of the Chamber of Commerce of Metropolitan Montreal (CCMM) on Tuesday to talk about the activities of one of the largest iron ore suppliers in the world on the North Shore.

Mr. Mobwano praised the quality of iron in the Labrador Trough. This immense geological formation crossing Northern Quebec and Newfoundland and Labrador contains more than 80 billion tons of high purity ores.

Few places on the planet manage to produce iron of this quality, which is essential for the energy transition and to decarbonize the economy, he said in a room in downtown Montreal.

“High-purity iron is becoming the essential ingredient for two major markets: the decarbonization of the steel industry itself and the use of high-purity iron in clean technologies,” said Mr. Mobwano.

Demand for high purity ores could grow by more than 300% by 2050. In Canada alone, needs are estimated at 113 million tonnes of steel per year for the energy transition, a- he mentioned.

“All the factors come together for Quebec. And Quebec can become a world reference in the production of low-carbon steel,” he said in his speech.

According to him, the possibilities are “immense” and should allow “to increase our market share by increasing the production capacity of the Labrador Trough”.

ArcelorMittal also wants to increase its production to reach 30 million tonnes within three years.

The mining sector in Canada of the group located in Luxembourg operates a mining complex in Mont-Wright, a mine in Fire Lake and a pelletizing plant in Port-Cartier on the North Shore.

Hydro-Québec has a choice to make

Considering the country’s future needs, Mr. Mobwano calls for a “real national discussion” to determine the type of steel that we wish to favor to decarbonize the Canadian economy.

“Do we want to import steel from outside and therefore import the equivalent of 40 million tonnes of CO₂ every year? Or would it be better for us to use a low carbon steel made possible by the use of high purity iron found here? “, he asked in his speech.

“I think that Quebec has everything in hand to be the leader and the needs are there. The increase in demand is inevitable. We have an exceptional resource,” added the business leader.

He believes that a company like Hydro-Québec could play an important role in the development of iron in the province while steel is necessary in clean energy components. He gave the example of a three-megawatt wind turbine that contains an average of 335 tons of steel.

“Imagine if Hydro-Québec mainly used steel from here, the opportunity that will present to develop this Labrador trench and also the economy of Quebec,” indicated Mapi Mobwano, in response to a question from the president and CEO of the Chamber of Commerce, Michel Leblanc.

Mr. Mobwano indicated that discussions have already taken place with the state-owned company, whose representatives recently visited the company’s sites.