Investment-ready decarbonization pathways for low-carbon steel
Discover how 12 pathways compare on cost, abatement, and readiness so you can invest with confidence.
THE WORLD’S TOP COMPANIES WORK WITH PRESCOUTER
At a glance outcomes
pathways prioritized (TRL ≥7)
The challenge
A global investment firm needed a decision-grade map of low-carbon steel pathways to allocate multi-billion-dollar capital, prioritizing TRL 8–9 options by abatement cost and CO₂ impact. Without a rigorous benchmark, they risked funding projects that miss climate and return targets.
Our approach
Define scope and key decisions
We began by aligning with the client on the exact investment questions that needed answers. This clear scope narrowed the analysis to decarbonization pathways with high readiness, measurable abatement, and relevance to large-scale steel operations. As a result, the study delivered decision-grade insights for billion-dollar capital planning, avoiding broad or theoretical outcomes.
Build LCOS and emissions model
To ensure a fair comparison, our team developed a detailed Levelized Cost of Steel (LCOS) and emissions model. It applied standardized CAPEX, OPEX, fuel inputs, and COâ‚‚ intensity factors across all 12 pathways. This consistent framework allowed us to plot a Marginal Abatement Cost Curve (MACC), pinpointing the most cost-efficient and high-impact strategies.
Landscape technologies and map providers
We mapped the broader technology ecosystem to pinpoint actionable opportunities for the client. The landscape featured 36 carbon capture providers spanning 38 technologies across seven distinct categories. This analysis equipped investors with a vetted pool of partners for pilots or scaling, each backed by detailed risk assessments.
Validate with SMEs
Through in-depth interviews with leading experts in steelmaking, carbon capture, and industrial decarbonization, critical insights emerged. The discussions revealed gaps where vendor claims diverged from real-world performance. This ensured the final roadmap was grounded in accurate and actionable intelligence.
Prioritize and deliver roadmap
We combined modeling outputs, vendor mapping, and expert insights into a phased investment roadmap. Pathways were organized into three categories: immediate deployments, transitional options, and long-term plays. This framework gave the client a clear, actionable plan to deploy capital strategically and balance short-term impact with long-term advantage.
Our approach
Define scope and key decisions
To ensure actionable results, we first aligned with the client on the exact investment questions that required answers. This helped narrow focus to decarbonization pathways with high readiness (TRL 7–9), measurable abatement potential, and relevance to large-scale steel operations.
By setting clear parameters upfront, the analysis remained precise and investment-focused, providing decision-grade insights for billion-dollar capital allocations and avoiding the pitfalls of overly broad or theoretical studies.
Key findings
- Most Cost-Effective
- Ready for Deployment
- Future Potential
Green hydrogen pathways show 95% abatement potential but require $2.5B+ CAPEX and 5-7 year development cycles.
- Transitional Solution
- Regional Impact
Regional variations in electricity costs create 40-60% LCOS differences, making geography critical for pathway selection.
- Strategic pathway
Pathways were grouped into immediate, transitional, and long-term plays to guide staged investment decisions.
Exclusive strategic recommendations
Pathway groups
- Immediate Investment
Deploy Now
Mature, cost-efficient, infrastructure-ready
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(Pathways A, B, C)
- Transitional Options
Bridge the Gap
Viable, mid-term, adaptable, moderate abatement
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(Pathways D, E, F)
- Long-Term Investment
Position for the Future
High abatement, currently high cost or low TRL
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(Pathways G, H, I, J)
PreScouter recommended:
- Deploy Pathways A, B, and C to enable immediate decarbonization through high technological readiness and strong cost-performance.
- Invest in Pathways I and G to secure long-term decarbonization gains.
- Support transitional options—Pathways D, E, and F—to reduce capital risk and extend the useful life of existing infrastructure.
- Adapt all decisions to local conditions and downstream integration requirements.
What our client gained
Start your decarbonization journey
We help you move from insights to measurable action in simple four steps:
Get a ranked roadmap
Receive a clear comparison of all steel decarbonization pathways by cost, abatement, and readiness.
Know exactly which options to deploy now, bridge mid-term, and plan for the future.
Access vetted partners
Tap into a curated list of CCUS providers, already screened for maturity and fit.
Save time and avoid chasing unproven or incompatible solutions.
Align strategy with impact
Use our MACC and LCOS models to back every decision with hard data.
Build confidence with your leadership and investment committees.
Move from compliance to value creation
Turn regulatory pressure into a competitive advantage.
Position your business as a first mover in low-carbon steel.