Vale signed a memorandum of understanding (MoU) with Posco for the goal of cutting 15% emissions of Scope 3 in 2035 as well as to achieve Posco’s plan of carbon neutrality by 2050.

The two companies will collaborate to develop solutions to cut down CO2 emissions in steel production.

The MoU said both companies will work together to reduce fossil fuel consumption using Vale’s offerings, including high-grade iron ore products like pellets, fines, and briquettes.

Vales also planned to cut its Scope 1 and 2 emissions by 33% by 2030.