Slag is the byproduct of IC2's Blast Furnace when smelting Steel from iron and coal dust.
Guide
Craft the Blast Furnace multiblock from IndustrialCraft 2 and place it next to a heat source such as an Iron Furnace. Connect EU power so the controller can run.
Stock 6 Iron Ingots, 1 Coal Dust (or compressed equivalent) and Air Cells filled at a Compressor. These are the recipe inputs for one Steel cycle.
Insert the 6 Iron Ingots, Coal Dust and Air Cells into the Blast Furnace input slots. The machine consumes them over the smelting cycle and heats up steadily.
When the cycle completes the Blast Furnace outputs Steel Ingots in the main slot and Slag in the secondary output. Pull both with pipes or hoppers.
Route Slag into a dedicated chest or Drum away from the Steel buffer. Optionally feed it to a Macerator for trace dust returns or keep it as a Steel-production tally.
Keep a buffer of Air Cells: a Compressor with empty Cells will stall your Blast Furnace and stop Slag production.
Slag is the secondary output of the IC2 Blast Furnace when it smelts Steel from iron and coal dust. It represents the impurities removed during the steelmaking cycle.
Run a Blast Furnace cycle with 6 Iron Ingots, 1 Coal Dust and Air Cells. The machine outputs Steel Ingots in the main slot and Slag in the secondary slot.
Slag has limited direct uses in IC2 itself, but some addon packs use it as a filler ingredient. Discarding it is safe if your modpack does not consume it.
In several IC2 configurations Slag can be processed in a Macerator for a small return of dust. Behavior depends on the modpack's IC2 build.
No. Steel Ingots are the main product of the Blast Furnace and are used in advanced IC2 recipes, while Slag is the leftover byproduct from the same cycle.