For CEO friends - lKAB Bio-fuel vs hydrogen vs plasmaI don't have an account there but always lurking the good spirits there.
This video from LAKB, https://vimeo.com/505233213 , at 1:15, states:
"The bio-oil is the first step to convert to CO2 and fossil-free future. First we try out bio-fuel, then we will try out electrification and that is pure-hydrogen or plasma burners.... To really get rid of CO2, we need to go to 100% electric"
This shows that they are aiming at going past CO2 neutral (bio-fuel) to a CO2 free (electrical) production.
Now, my undestanding is that they will need Hydrogen for the sponge reduction, but that will be a H2 facility next to the sponge iron plant, that are not necessarily close to pelletization plants.
They will also need electricity driven heat at the pellet plant, I doubt they would transport Hydrogen or create a H2 electrolysis plant next to the pellet plantization, close to the mines.
I'm sure plasma is more efficient in electricity to heat transformation than hydrogen electrolisys/burning. You also have to take into account H2 storage/transport needs.