Tenova will deploy its Direct Reduction (DR) technology to upgrade the iron ore processing plant's HBI-1 facility. The project, which is scheduled to be completed by early 2023, is expected to increase HBI-1's productivity by over 10%.

"Metalloinvest is the leading global supplier of HBI, with a market share exceeding 50%," noted Oleg Mikhailov, Lebedinsky GOK's managing director. "The modernisation of HBI-1 is a key example of strategic solutions that enable the company to strengthen its leading industry position."

Tenova's 'Energiron' DR solution, developed as part of strategic alliance with Italian metals supplier Danieli, was chosen because it is the most environmentally friendly iron production method, said the companies.

Energiron facilities can already use up to 70% hydrogen in place of natural gas, and the company has said its facilities are ready to trial 100% hydrogen.

"The reliability of the Energiron technology and an open, professional dialogue with the client have been the key factors for the favourable outcome of this contract", said Stefano Maggiolino, president and chief executive of Tenova.

Energiron generates lower emissions in the production of coke, sintering ore and pig iron, as well as the solid waste in the form of slag, according to a Tenova statement.

HBI-1 Plant, which was commissioned at Lebedinsky GOK in 2001, currently produces more than 1 million tonnes of HBI per year. In total, the three HBI plants at Lebedinsky GOK - the country's largest iron ore processing facility - produce over 4.5 million t/yr.