ABSTRACT

Currently, the global Direct reduction (DR) installed capacity stands at about 29 million tons with an overall capacity utilization of 61%. In 1990, out of the total production of 17.88 million tons, 92.3% was produced in gas-based plants and only 7.7% in coal-based plants. If the DR industry has an assured future, the question to be answered is whether the growth will occur in gas or solid reductant-based processes. Presently, gas-based DR processes are far ahead of the processes using coal, and account for about 90% of the world's installed DR capacity. Gas-based DR processes are still too expensive to operate except under special circumstances. Coal-based DR processes do not always produce a high quality product and have intrinsic problems sustaining production, particularly in large capacity units, which are economically more viable. The economic, geographic, and political logistics have not been particularly favorable for the DR industry.