A coalition of major steel producers and energy companies, led by BHP, has come together to explore the creation of carbon capture, utilization and storage (CCUS) hubs across Asia — a move aimed at tackling emissions from some of the world’s most difficult sectors to decarbonize.
The initiative brings together ArcelorMittal Nippon Steel India, JSW Steel, Hyundai Steel Company, Chevron, and Mitsui & Co.
It marks the first industry-driven, independent prefeasibility study of its kind in Asia, examining both the technical and commercial viability of large-scale CCUS projects.
The study will assess options for capturing CO2 from heavy industry and either reusing it in manufacturing or transporting it — via pipelines or shipping — to long-term storage sites in Asia or northern Australia.
Shared infrastructure and coordinated planning are expected to lower costs and open up new applications for the captured gas. Each participating company will be linked to at least one proposed hub. For each site, the study will outline potential development concepts, cost and timeline projections, and possible routes to commercial operation.
Regulatory frameworks and cross-border CO2 transport rules will also be reviewed to identify policy changes needed to make these hubs a reality.
Hatch has been appointed as the project management office, working alongside the Global CCS Institute, McDaniel, and Pace CCS. The consortium remains open to new members wishing to participate.
Relevant: JSW Steel Joins Forces With Carbon Clean And BHP For Carbon Capture Breakthrough
The work is scheduled to finish by late 2026, with the findings to be published so other industries and governments can build on the results and accelerate regional CCUS deployment.
“BHP is committed to supporting our steelmaking customers on their journey to decarbonise the industry. With more than one-billion tonnes of production a year in Asia coming from blast furnace capacity that is relatively early in its production life, it is important for industry to progress technologies to decarbonise existing steelmaking assets while new commercial pathways to decarbonise steelmaking are developed over time,” commented BHP marketing sustainability VP Ben Ellis.
“By leveraging shared knowledge and resources with our partners, we are investing in support for innovative solutions – like the potential of CCUS – that we see as an essential part of decarbonising hard-to-abate sectors such as steelmaking.”
Read more: Malaysia Enacts CCUS Act 2025 With Royal Endorsement
