there are technologies that do not require high FE
-HYBRIT -FINEX -HISMELT
just to name a few. the preferred product will actually be PIG IRON, DRI, HBI. there are a few larger conglomerates already using these technologies such as Iron ore giant VALE.
the hybrit technologies are also showing to be a viable high production unit.
the only problem you have with DRI is that the methods currently used are counterintuitive, you're getting a high grade iron to put into a high emitting system.
HISMELT, HYBRIT and others don't need HIGH FE and can reduce iron to the above in a net zero way.
the important part of above is that the steel and iron ore Giants have ways to circumnavigate HIGH FE product if need be, however high grade will be preferable if available, and a premium will be set for 65-67% and over.
GRR and MGU are the only two working with DRI and PIG IRON in the junior and medium cap range and MGU is the only one doing it with Net Zero in mind on the asx, there are others outside of asx.
BHP, RIO and FMG are all looking for viable technologies in ASIA to allow them to still use their low FE, so something to just be aware of, if these guys can get their cost per tonne much lower using low fe, this could be a bit of a problem for these super grades getting off the ground IMO, but not an end all be all.
between RIO, FMG, BHP, VALE, they combined could fill most this gap alone with the tech, then it comes down to locality and technology for others vying for offtakers and future consumers.
for the likes of hawsons, I would have preffered them to process and send as a DRI, HBI, PIG IRON product, to ensure the longevity and stability of the economics these products offer to the wider market. a lot of big funds also feel this way, it is why I'm a bit pessimistic on these high grade funds getting of the ground, because of their attachment to FE pricing instead of pig iron pricing for example, which went to the range of $1080 USD per tonne earlier in the year.
