Hydro is on the way to initiate a new development phase of its one-of-a-kind production technology -HalZero, a brand new process for primary aluminium production. With the Norwegian government's support, the company will invest in a test facility, hoping the technology will help deliver pilot production of zero-carbon primary aluminium by 2030.
The total investment required for the project is approximately NOK 400 million, of which the Norwegian government, via state enterprise Enova, has granted NOK 141 million for the construction of a test facility.
Hydro has been working on early phase development of the HalZero technology at Hydro's Technology Centre in Porsgrunn, Norway, for the past seven years.
In the HalZero production process, only oxygen will emit instead of carbon dioxide. If Hydro succeeds in this, it will revolutionise the aluminium industry.
"The development of HalZero is our most groundbreaking technology initiative ever. This could be the first industrial production of primary aluminum without greenhouse gas emissions in the world. The plan is ambitious, and there is considerable risk. Therefore, we depend on the authorities to join us on the road to make a major investment," said Eivind Kallevik, Executive Vice President for Hydro Aluminium Metal.
Aluminium is a significant source of CO2. It alone was responsible for about 3 per cent of the world's 9.4 Gt of direct industrial CO2 emissions in 2021. So, decarbonising this industrial sector will be a vital step towards reducing global greenhouse gas emissions.
Kristian Nakstad, CEO of Enova, said: "The technology that Hydro is developing here can contribute to significant emission reductions for the aluminium industry both in Norway and in other countries. Enova supports companies that take a lead in decarbonizing industry, and we believe that HalZero can contribute strongly to reducing emissions from the aluminium industry."
Kallevik added, "We know that demand for aluminium will increase, and aluminium without CO2 emissions will mean a lot for the climate goals. Today, the aluminium industry accounts for 2 percent of the world's CO2 emissions. We are aware of our responsibility and we want to take the lead in developing zero-emission technology for aluminium production."
In parallel, Hydro is also working on developing carbon capture and storage for existing aluminium smelters, increasing the use of renewable electricity, and testing green hydrogen in the aluminium value chain.
Responses
