Benzinga | Aug 19, 2021 09:18AM EDT

Ternium, Vale Ink MOU To Develop Steelmaking Decarbonization Solutions

* Ternium S.A. (NYSE:TX) has signed a memorandum of understanding with Vale SA (NYSE:VALE) to pursue opportunities to develop steelmaking solutions focused on reducing CO2 emissions. The financial terms of the deal remain undisclosed.

* Ternium and Vale intend to develop economic feasibility studies of potential investments in an iron ore briquetting plant located at Ternium Brasil facility and plants to produce metallic products with low carbon footprint, using Tecnored, HYL, and other technologies for iron reduction.

* This initiative contributes to achieving Vale's commitment to reduce 15% of net Scope 3 emissions by 2035.

* Price Action: TX shares are trading lower by 2.54% at $53.25, and VALE lower by 5.02% at $18.34 during the premarket session on Thursday.