Algoma Steel Group Inc. is seeking buyers for environmentally hazardous dust that will be produced when its new electric arc furnaces begin commissioning by the end of this year.
The dust contains heavy-metal oxides including lead, zinc, cadmium, manganese and chromium.
"Typically EAF [electric arc furnace] baghouse dust... will have traces of materials that you have to deal with appropriately and it's not inert," Algoma chief executive officer Michael Garcia told a city council meeting this week.
"So there are regulations around how this needs to be handled," Garcia said, responding to questions from Ward 1 Coun. Sandra Hollingsworth.
"You can't simply sell it as a byproduct. But oftentimes, it has elements that are of value to companies that have the technology and the capability to extract those materials," Garcia said.
"So we would look to to sell that dust to a processor that can then mine the dust for economic value and deal with whatever residual is left after that.
"Those are the types of arrangements we are exploring. So this dust will be controlled: it will be monitored. We have very specific regulations around how you move it, how you deal with it, because there are elements in there that you can't be cavalier around, but there are valuable elements in there as well.
Garcia said the hazardous materials will arrive on scrap metal that will be used to feed the two new EAF furnaces.
"The dust will have the characteristics of the dust that is frankly on the scrap metal as it gets shipped to Sault Ste. Marie. To the extent that there are materials and elements on the scrap that we are purchasing and recycling, we have to be mindful of that."
"And if you think of the North American steelmaking industry, 70 per cent of the U.S. steel is produced with EAF furnaces and those furnaces have been producing EAF dust for several decades now.
"So there's an entire industry that's grown up around moving the dust safely and securely and environmentally responsibly, and then also mining that dust for economic value.
"So those are the people that we are having discussions with around the dust, but what we do know is our equipment will allow us to capture all that dust very efficiently and very effectively.
"There are other byproducts that we will be producing like slag. There's a pretty robust industry around using those materials for byproducts in road paving, agricultural applications and other applications that will continue to provide value to to different uses, whether it's construction or agriculture, Garcia said.
Algoma Steel's transition to electric arc furnace steelmaking is expected to cost between $825 million and $875 million, making it the most costly construction project in Sault Ste. Marie history.
The project is expected to cut greenhouse gas emissions by up to 70 per cent, positioning Algoma as one of the leading producers of green steel in North America.