MB DRI & PELLET: Iron ore pellet shortage looming, panellists say

Demand for both blast furnace (BF) and direct reduction iron (DRI) pellets is set to outstrip supply in the next few years, delegates heard at Metal Bulletin’s 2nd World DRI & Pellet Congress in Abu Dhabi.

The remarks were made by a panel of representatives from pellet production firms – Swedish miner LKAB, Brazilian miner Samarco and Gulf-based Bahrain Steel – on Wednesday April 30.
Growth in gas-based DRI processes, particularly in the Middle East-North Africa (Mena) region as well as North America, have already raised demand for high-quality DRI pellets to 45 million tpy, according to K Prasad, ceo of Bahrain Steel.

“[DRI] plants are now operating at 60-70% [of capacity] but once they start operating at 80-90% there will be a shortage of pellets,” he added. This will be because, in a few years’ time, demand...


Nina Nasman

April 30, 2014

12:42 GMT

Abu Dhabi