Making steel with metallurgical coal is obsolete and financially unsustainable, forcing the closure of the United Kingdom’s last two blast furnaces, British Steel announced Thursday, March 27.
“The blast furnaces and steelmaking operations are no longer financially sustainable due to highly challenging market conditions, the imposition of tariffs, and higher environmental costs relating to the production of high-carbon steel,” said the Chinese-owned company.
The blast furnaces at Scunthorpe will go cold in June, said owner Jingye, unless the UK government comes up with enough cash to fund the building of modern electric arc furnaces that can smelt virgin iron along with scrap. The company has rejected a C$ $1 billion subsidy offer by the British government.
The closure follows the recent shutdown of the last blast furnaces at Port Talbot.
The U.S. 25 percent tariff on imported steel contributed to the shut down decision. The tariff is likely to eliminate much of the global production overcapacity, accelerating the decline in demand for metallurgical coal.
Link to Guardian article . . .
Link to British Steel news release . . .
New Chinese technology trumps Western processes....and makes the use of metallugical coal obsolete.
https://www.techexplorist.com/groundbreaking-ironmaking-breakthrough-china-increases-productivity-3600-times/95169/
Most definitely something to bring up in the current lawsuit against Alberta for a failed investment.