Zesty Green Iron Demonstration Project

The Zesty Green Iron Demonstration Project aims to build and operate a plant capable of producing up to 30,000 tonnes per annum of hydrogen direct reduced iron (H2-DRI).

Location: Kwinana, Western Australia
Partner: Rio Tinto
Funding: Australian Renewable Energy Agency (ARENA)
Current status: Detailed Design Engineering

Project Overview

 The Demonstration Plant is designed to provide an industry-wide facility for the non-exclusive toll processing of iron ores from a range of sources into a hydrogen direct reduced iron product. It aims to support the ongoing viability of Australian iron ore in a low emissions steel value chain and the development of a green iron industry in Australia.

The project builds on the successful testing of Zesty at pilot scale and is supported by a A$44.9m grant from the Australian Renewable Energy Agency and a Joint Development Agreement with Rio Tinto that includes over A$35m of cash and in-kind contributions to the project.

The Global Challenge

Iron and steel production is one of the most carbon-intensive industrial processes, responsible for an estimated 2.8 billion tonnes of CO₂ per year, or approximately 8% of global CO₂ emissions. Between 70% and 90% of the industry’s carbon footprint results from the processing of iron ore to metallic iron using coal in blast furnaces.

For Australia, as the world’s largest iron ore producer, the transition to low-emissions steelmaking is both a significant threat and opportunity.

To ensure the future viability of Australian iron ore in a decarbonising global economy, low-carbon steelmaking processes must be compatible with the low-medium grade hematite/goethite ores that make up the bulk of Australia’s exports.

If Australia were to develop a green iron industry to replace iron ore as a primary export, estimates suggest it could more than triple its export earnings by 2060, while at the same time abating carbon dioxide emissions equal to roughly 4 per cent of the global total, or more than three times Australia’s current domestic emissions.

The Zesty solution

Calix’s Zesty technology uses a combination of electric heating and hydrogen reduction to produce green iron and ultimately, green steel. Zesty aims to provide lowest cost pathways to green iron and steel by:

  • Enabling flexible operations compatible with variable renewable energy sources
  • Enabling theoretical minimum hydrogen use of 54kg per tonne of iron
  • Removing the need for ore pelletisation
  • Enabling the use of fines and lower-grade ores.
 

Zesty could be integrated directly at the iron ore source or at a hub for the export of green iron, or by a steelmaker to feed a blast furnace, basic oxygen furnace, electric smelter or electric arc furnace, providing flexible near- and long-term decarbonisation pathways for the industry.

Calix’s modular technology is designed to be simply scaled through duplication, de-risking technology scale up and enabling flexible production volumes.

Extensive pilot-scale testing delivered excellent metallisation results from over 130 test runs using nine different Australian ores and covering a range of grades and particle sizes. Most test runs achieved the level of metallisation suitable for downstream use in either an electric smelter or blast furnace, while several tests reached sufficient metallisation levels for feed directly to an electric arc furnace.

Zesty Demonstration Project Objectives

The Project aims to advance the technical and commercial readiness of Zesty, facilitating its scale up to commercial operations. The Project’s objectives are:

  1. Construct, commission and operate a 30,000 tonne per annum hydrogen direct reduced iron (H2-DRI) or hot briquetted iron (HBI) Zesty Demonstration Plant.
  2. Deliver a Pre-FEED / FEED study for a commercial scale Zesty plant.

The Demonstration Plant is designed to enable toll processing of iron ores from a range of producers both within Australia and internationally. Targeted project outcomes aim to assist in progressing the viability of Australian iron ore in a low emissions steel value chain, support the development of a green iron industry in Australia, and support global deployment of the technology. 

The Demonstration Plant’s toll processing of multiple ore types and grades is also designed to facilitate testing of the H2-DRI / HBI product by multiple steelmakers using different steelmaking routes. This aims to demonstrate ZESTY’s potential to provide flexible decarbonisation pathways for the industry.

Funding and Partnership

Rio Tinto: A non-exclusive Joint Development Agreement provides over A$35m in cash and in-kind support for development, commissioning and operations of the Zesty Demonstration Plant, as well as support to enable the future commercialisation of the Zesty technology.


 

ARENA: This Project received funding from the Australian Renewable Energy Agency (ARENA) as part of ARENA’s Advancing Renewables Program. A$44.9m grant aims to support the design, construction and commissioning of the Zesty Demonstration Plant.

Current Status

The project has executed a A$44.9m grant from ARENA and signed a Joint Development Agreement with Rio Tinto to provide over A$35m of cash and in-kind support. Pre-FID activities are advancing, including site-specific engineering at Kwinana and partner engagement. A Final Investment Decision is expected in 2026.

Calix plant with calcination technology delivering sustainable mineral products

Key Milestones

  • Nov 2022: ARENA grant awarded to support a FEED study for the Zesty Demonstration Plant
  • Feb 2024: FEED study completed
  • Jul 2025: ARENA grant executed, providing up to A$44.9m in matched funding under the Advancing Renewables Program
  • Nov 2025: Joint Development Agreement with Rio Tinto executed, providing over A$35m of cash and in-kind contributions to the project
  • 2025: Detailed Design Engineering (ongoing)
  • 2026: Final Investment Decision (targeted)
  • 2028: Completion of construction (targeted)
  • 2028: Commissioning & first green iron produced (targeted)
  • 2028-2031: Operations & testing (targeted)

Contact Us

To enquire about the Zesty Demonstration Project or learn more about the Zesty technology, please contact us at zesty@calix.global

Partnering for a sustainable future

Through strong partnerships with governments, research institutions, and industry leaders, Calix is accelerating the development and commercialisation of its core platform technology to help decarbonise the world’s most energy-intensive industries.

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