LG Chem and POSCO Holdings have joined forces to accelerate efforts towards carbon neutrality by launching a demonstration project for Carbon Capture and Utilization (CCU) technology. This project aims to convert carbon dioxide captured at POSCO's Pohang steelworks into carbon monoxide (CO) and hydrogen using LG Chem's proprietary DRM (Dry Reforming of Methane) technology. By utilizing these outputs as reducing agents in steelmaking, the project aims to reduce the reliance on coal, a significant contributor to carbon emissions. LG Chem's previous establishment of a 1,000-ton DRM pilot plant in South Chungcheong Province and the upcoming CCU demonstration project signify a strategic commitment to reducing carbon emissions in the steel and chemical industries by 2030. Executives from both companies express optimism about the partnership, highlighting its role in driving sustainable innovations and carbon reduction efforts. Furthermore, the collaboration involves multiple institutions to facilitate CO₂ capture, CCU infrastructure development, and technology demonstration, showcasing a comprehensive approach towards achieving carbon neutrality in the industrial sector.