Australia is uniquely positioned to embrace the green iron opportunity and reinforce its status as an economic and clean-tech superpower for several reasons: –Clean electricity generation and distribution: Australia has potential to further utilize huge land areas, coupled with low seasonal weather variations, which offer world-leading opportunities to invest in large-scale, consistent, low-cost wind and solar power generation. The country has a national target to source 82% of its electricity from renewables by 2030. Cost projections per MWh are the most competitive in the world, outside the Middle East and North Africa.15 –Large reserves of minerals needing high- energy processing: in particular, Australia holds the world’s largest reserves of iron ore – around 58 Gt of economic demonstrated resources (31% of the world’s reserves).16 –Established export infrastructure: the country’s existing ports, rail networks and bulk terminals are already optimized for iron ore exports. Regional export clusters, including Whyalla in South Australia and Pilbara in Western Australia, are beginning to co-locate green iron facilities near ports to reduce costs and emissions. –Proximity to Asian steel markets and value- add potential: Australia already produces 35% of the world’s iron ore, with established export corridors to East Asian buyers such as China, Japan and South Korea. These markets are looking to hit their emissions reduction goals and boost sustainable manufacturing, offering a valuable opportunity for Australia to transition into exports of green iron and zero-carbon fuels. –Emerging policy support: Australia’s federal government has launched several funds under its net-zero strategy and Future Made in Australia legislation, amounting to billions of dollars of support for the green iron and hydrogen industries (see Chapter 2.2).17 Where Australia has less of a competitive edge is in low-carbon steelmaking. Its production costs greatly exceed those of leading producers such as China; domestic demand is weak and the country lacks the cheap scrap metal needed to start decarbonizing its steel production. The opportunity lies in utilizing new clean technologies to supply high-quality, green hot- briquetted iron (HBI) to existing Asian electric arc furnaces (EAFs), which can melt it using renewable energy into deeply decarbonized steel. Exporting high-value green iron, rather than duplicating downstream steel assets, offers Australia the fastest pathway to monetize its strategic edge in iron ore deposits and renewables.181.3 Australia’s edge on the competition A sense of urgency pervaded the Adelaide workshop, as global competition for clean decarbonized industrial products accelerates. According to one participant, Australia is in a race to compete with Brazil, Canada, the Middle East and US, all of which have the same opportunities as Australia. “If you look at Texas, then we’re losing the race,” he said, given their existing infrastructure, access to large power markets, hydrogen funding and federal incentives. The next UN Climate Conference (COP30) in November would be an ideal venue to lock in new projects for Australia, especially if Adelaide wins the bid to host COP31 in 2026. By acting fast, Australia also has a chance to shape emerging global green steel standards and supply chains. 1.4 Urgency of opportunity requires action now 2030 is not far away – the window to act is open now! If we miss it, we lose more than market share, we lose trust, time and talent. Workshop participant, synthesis discussion Unlocking Asia-Pacific as a First Mover: Australia’s Green Iron Opportunity 10

Unlocking Asia-Pacific as a First Mover 2025