Iron production accounts for substantial shares of global coal use and GHG emissions. LKAB is Europe’s largest iron company and Sweden’s fourth-largest emitter of GHGs. To reduce its emissions, LKAB might implement biomass in iron ore pelletisation. It is therefore important with information on how the biomass demand can be met and what the environmental implications may be, but available research focuses on contexts which are irrelevant for LKAB. This study aims to fill this knowledge gap by investigating the extent to which LKAB can replace coal with biomass in iron ore pelletisation by assessing the availability of biomass as well as its environmental and economic performance relative to coal. The study includes slash, industrial residues, pellets, and willow. The biomass potential is assessed using statistics and calculations. The environmental performance is assessed based on an LCA combined with a qualitative sustainability assessment, covering land-use change (LUC), biodiversity, toxins, chemicals, eutrophication (toxic-chem-eut), and compliance with EU sustainability criteria. The economic performance is based on price statistics. In general, all assessed biomass sources can meet LKAB’s potential demand, but requires sourcing from different locations, at different prices, with different environmental impacts, and with different market effects. In northern Sweden (“Norrland”) slash is largely unused and has a very good potential to supply LKAB with biomass. Industrial residues have a good potential on the domestic level but lower potential regionally. The potential of domestically produced pellets is limited but the demand can be met by increased production or imports. Willow currently has a low potential, but there is good potential to increase domestic production. In general, the biomass fuels have substantially lower environmental impact than coal. The LCA indicates that slash and industrial residues have the lowest environmental impact, pellets has slightly higher, and willow has higher impact in most categories (also higher than coal in some categories, although lower in general). Slash, industrial residues, and pellets cause no impacts on LUC, biodiversity, and toxic-chem-eut. Industrial residues, pellets, and willow are compliant with EU sustainability criteria, but it is uncertain if slash complies due to a pending criteria revision. Willow has slightly positive impacts on biodiversity and toxic-chem-eut but slightly negative impacts on LUC. The cost for biomass relative to coal is uncertain due to price volatility. In 2020, coal had the lowest price, but its average price the past three years is twice the price for slash and industrial residues and on par with the price for pellets. If all fossil GHGs in iron production would be subjected to the EU emission trading scheme the economic competitiveness of biomass would increase. The study shows that increased use of biomass, both in LKAB and in general, can be achieved with reduced environmental impacts compared to coal. Future studies should map the effects of dynamic factors on environmental impact and costs, and quantify net environmental impacts, including spatial-specific changes. / <p>Betygsdatum 2023-07-07</p>
| Identifer | oai:union.ndltd.org:UPSALLA1/oai:DiVA.org:miun-50032 |
| Date | January 2023 |
| Creators | Kemi, Magnus |
| Publisher | Mittuniversitetet, Institutionen för naturvetenskap, design och hållbar utveckling (2023-) |
| Source Sets | DiVA Archive at Upsalla University |
| Language | English |
| Detected Language | English |
| Type | Student thesis, info:eu-repo/semantics/bachelorThesis, text |
| Format | application/pdf |
| Rights | info:eu-repo/semantics/openAccess |
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