The companies plan to start by conducting research collaborations into direct reduction (DR) steelmaking, alongside work on feed materials, including iron ore pellets and lump iron ores.

Hydrogen technologies "may" also be explored by the partners, said the companies,

"We are committed to collaborating with industry-leading players like Salzgitter Flachstahl to develop strategies that capitalise on the premium quality properties of our products to help drive emissions reduction across the entire steelmaking sector," said Peter Whitcutt, CEO of Anglo American's Marketing business.

Salzgitter noted that it also has a SALCOS (Salzgitter Low CO2 Steelmaking) project underway that targets a switch from the use of blast furnaces based on coal to DR steelmaking.

Ulrich Grethe, cairman of the Management Board of Salzgitter Flachstahl GmbH and member of the Group Management Board of Salzgitter AG said:

"With this project, we continue to progress important milestones on the way to low CO2 steel production. In driving our SALCOS technology concept forward, we aim to decarbonise steel production as efficiently and quickly as possible. We are delighted to be partnering with Anglo American, our long-standing major supplier of high-grade ores, for joint reflection and potential projects."