Turkish steel conglomerate Tosyali signed a contract with Libya's United Libyan Company for Iron and Steel Industries to establish a direct reduction iron (DRI) plant in Benghazi.

This facility, with an annual production capacity of up to 8.1 million tons, will be part of a larger integrated iron and steel plant. The plant will utilize environmentally friendly MIDREX Flexi DRI technology powered by hydrogen, making it a "green" facility.

A new joint venture named Tosyali-Solb will be established in Benghazi to oversee the development of this green steel project in Libya. This project represents a significant investment that will contribute to the growth of the Libyan iron and steel industry.

The integrated steel plant will be implemented in three phases. The first phase, with a capacity of 2.7 million tons annually, aims to address the green steel needs of both the surrounding region and Europe.

According to Tosyali Group Chairman Fouad Tosyali, this investment aligns with the company's strategy to expand its footprint along the Mediterranean coast, particularly in Africa, a key area of focus. He emphasized Tosyali's commitment to creating a positive economic, environmental, and social impact in the countries where they operate.

Tosyali expressed their enthusiasm for sharing their expertise in green steel production with Libya through this new complex, for which groundwork and engineering studies are complete. Construction is expected to begin in the coming days.

Echoing these sentiments, Chairman of the United Libya Steel Manufacturing Company, Ahmed Jadallah, hailed the agreement as a significant step towards industrialization in Benghazi and the development of Libya's green iron and steel sector.

Jadallah believes the agreements will strengthen economic ties between Libya and Turkey while positioning Libya as a key player in the global steel production association, particularly in the realm of green steel and decarbonization.