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Last updated : 21/10/2026 - 17h35
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Vallourec reduces carbon monoxide by 99.98% in its charcoal kilns in Brazil

In a press release published on October 21, 2026, Vallourec presented a carbonization gas treatment system installed at Fazenda Aldeia, in Abaeté, in the state of Minas Gerais. The group ties this project to its approach to reducing emissions from its forestry activities in Brazil.


Vallourec reduces carbon monoxide by 99.98% in its charcoal kilns in Brazil

Carbon monoxide and methane reduced by over 99%

Charcoal production is based on the pyrolysis of wood, a process that generates in particular carbon monoxide and methane. According to Vallourec, after treatment by the new central burner, carbon monoxide concentrations are reduced by 99.98% and those of methane by 99.3%. The system also almost completely eliminates visible smoke and odors related to emissions from the kiln chimneys. The group indicates that it contributes to improving working conditions on the site and limiting the impact on surrounding communities. "At the burner outlet, there is essentially only hot air left," explained Marcelo Fontan, project manager. Jun Mutó, director of raw materials for Vallourec South America, mentioned "a concrete response to an operational challenge, with tangible and measurable environmental benefits".

300 meters of ducts and combustion without external fuel

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The system connects the kiln chimneys to a network of approximately 300 meters of ducts. This network captures the gases and conveys them to a central combustion chamber, where they are brought to a temperature above 600°C in order to oxidize the main components of the fumes. The gases resulting from carbonization provide the thermal energy necessary to maintain combustion: no external fuel is used to power the burner. The installation also includes thermal insulation and a 30-meter-high metal chimney, which ensure the circulation and evacuation of gases. Vallourec specifies that the project was designed in consultation with the Association of residents of the São Sebastião da Aldeia community and the local public prosecutor's office.



Sector Métaux et mines › Acier / sidérurgie


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Context

Period
  • Period: S1 2026
Key reported figures
  • Revenue: 1 860 millions de dollars
  • Quarterly revenue: 1 860 millions de dollars
  • Revenue growth: -8 %
  • EBITDA: 409,4 millions de dollars
  • EBITDA margin: 22 %
  • Net income: 131,5 millions de dollars
  • Free cash flow: 303 millions de dollars
  • -183,1 millions de dollars
Risks mentioned
  • Baisse de 15 % des volumes vendus de Tubes au premier semestre 2026
  • RBE Mines & Forêts en recul à 71 M$ contre 107 M$, effets de change défavorables du réal
  • Fermeture du détroit d'Ormuz affectant les délais de livraison à l'international
Opportunities identified
  • RBE du segment Tubes en hausse à 372 M$ grâce aux prix et au mix produit
  • Position de liquidité très solide de 2,0 milliards de dollars au 30 juin 2026
  • Produit d'environ 307 M€ encaissé le 8 juillet 2026 après exercice des bons de souscription
Outlook / guidance
  • Expected EBITDA: 190 millions de dollars

The information presented in this article is provided for informational purposes only and does not constitute an investment recommendation, an incentive to buy or sell a financial asset, or investment advice. Readers are invited to conduct their own research before making any decision.

Investments in the stock market involve risks, including the risk of capital loss. Past performance of an asset or market is no guarantee of future results. Any investment decision should be made taking into account your personal financial situation, objectives and risk tolerance.

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