SG Secures First Supply of Eco-Friendly Steelmaking Slag for Asphalt from POSCO

SG, the No. 1 asphalt concrete company in Korea, announced on the 30th that it has signed a contract to receive processed steelmaking slag for eco-friendly asphalt concrete manufacturing from POSCO. This contract marks the first time SG procures slag for asphalt concrete from POSCO.

Under this contract, SG will initially receive 100,000 tons of slag within the year, which translates to approximately 28 billion KRW in sales of Eco Steel Asphalt Concrete. Utilizing slag reduces costs by more than 5% compared to conventional aggregates, securing cost competitiveness. The company plans to gradually increase the slag supply volume with POSCO to reach 1 million tons (about 280 billion KRW) in the future.

SG is the only domestic company possessing the technology to manufacture eco-friendly asphalt concrete called ‘Eco Steel Asphalt Concrete’ using steelmaking slag. After a decade of joint research as a national project, SG obtained the domestic patent for Eco Steel Asphalt Concrete in 2022 and successfully commercialized it.

Steelmaking slag is a byproduct obtained when iron ore, coking coal, and limestone melt at high temperatures during the iron production process and separate from molten iron. Eco Steel Asphalt Concrete made from steelmaking slag completely replaces natural aggregates, preventing forest destruction caused by aggregate mining. Additionally, it has more than twice the strength of conventional asphalt concrete and offers excellent effects in reducing fine dust and noise.

Eco Steel Asphalt Concrete is currently supplied to the Second Gyeongbu Expressway, Seoul Metropolitan Government’s road projects, and bus-only lanes, establishing a solid reference base. Recently, SG also signed a supply contract for road reconstruction in Ukraine, gaining recognition for the excellent quality of Eco Steel Asphalt Concrete overseas.

An SG representative stated, “With the slag supply contract signed with POSCO, the largest steel manufacturer in Korea, stable procurement of raw materials for Eco Steel Asphalt Concrete has become possible,” adding, “We will actively expand sales based on the product’s excellent competitiveness.”

Meanwhile, POSCO and the domestic steel industry are actively participating in recycling slag, which accounts for about 90% of byproducts, to strengthen eco-friendly management. In February, 11 major steel companies, including POSCO and Hyundai Steel, participated in the launch of the Steel Slag Committee.