That $8Bn Tender Pipeline!, page-342

The idea of linking Queensland coal with WA iron ore to make steel is a pipe dream, just like my pipe dream to use green electricity and piped natural gas to do the same thing. If one can convert iron ore to near-iron (high Fe ore), 97% Fe sponge iron (direct reduced iron) and pig iron, that opens up the global market, and hence reduces reliance on China and other Asian steel mills. Making steel, is one step further up the value-add ladder, but it may not be economical.

The information at https://en.wikipedia.org/wiki/Direct_reduced_iron is informative. Intuitively, I prefer making sponge iron using natural gas, rather than coke. Also, if one is going to produce green electricity, there would be no need to cart thermal coal to create electricity (a line of thinking that would not be popular for the Queensland coal sector).

On sponge iron, the preferred next step is optimally done in the same location when the sponge iron is still hot, and before it starts to rust. This uses less energy, and avoids the expense of making briquettes, which must be done to export sponge iron to avoid it deteriorating (it rusts quickly otherwise) and to make it safe to ship and store (untreated sponge iron easily self combusts).

Owning RCRMT (merged with DIAB) gives NWH a vehicle to get into more value-add work as the pipe dream unfolds. This is too far out to be much interest for some years.