Emission Impacts of Direct Reduced Iron‐Ore Processing Systems: A Systems Thinking Approach in Case Studies of Canada and Peru

This study presents a novel methodology for quantifying CO 2 emissions in direct reduced iron (DRI)‐grade iron‐ore processing plants using system dynamics modeling (SDM) with an emphasis on associated uncertainties. Two plants in Canada and Peru are analyzed, where similar ore grades (34.89% and 39.10%) but different ore types (hematite and magnetite) lead to distinct mineral processing systems. By incorporating the breakdown of power grid generation sources, the annual CO 2 emissions are quantified, finding significantly higher emissions in Peru (22,241.63 tCO 2 e ton −1 ) compared to Canada (2,252.85 tCO 2 e ton −1 ). These results highlight the critical impact of local energy grids on emissions, underscoring the need to consider both ore characteristics and regional energy profiles in developing decarbonization strategies. This study offers a structured approach to assessing the CO 2 impact of raw materials in low‐carbon steel production. It emphasizes the effect of the spatial distribution of raw materials in the steel‐making process. The analysis reveals that emissions from the plant in Peru are nearly 10 times higher than those in Canada, highlighting the significant influence of the local energy grid. These results underscore the influence of ore characteristics and regional energy profiles in developing effective decarbonization strategies.