LG Chem is accelerating its efforts toward carbon neutrality by entering into a full-scale partnership with POSCO Holdings.
Recently, LG Chem announced that it will carry out a demonstration project for CCU (Carbon Capture and Utilization) technology, as part of the Ministry of Science and ICT’s national CCU Mega Project.
Under the project, carbon dioxide captured at POSCO’s Pohang steelworks will be converted into carbon monoxide (CO) and hydrogen, which are used as reducing agents in steelmaking, via LG Chem’s proprietary DRM (Dry Reforming of Methane) technology.
LG Chem’s DRM uses carbon dioxide and methane (CH₄) as feedstock to produce carbon monoxide (CO), a reducing agent, and hydrogen. These outputs can be used in steelmaking processes to reduce the reliance on coal.
Carbon monoxide can also serve as a raw material for various chemical products such as plastics, while hydrogen can be used as an eco-friendly fuel.
LG Chem and POSCO Holdings aim to drastically reduce carbon emissions and secure key raw materials and fuels in a cost-efficient manner. This initiative is expected to serve as a game-changer in achieving South Korea’s carbon neutrality goals.