Libya-based Tosyalı SULB, a joint venture established by Turkish steelmaker Tosyalı Holding and Libya United Steel Company for Iron and Steel Industry (SULB) plan to attract around $2.5 billion in investment for their direct reduced iron (DRI) project near Benghazi, Libya, with commercial production expected to begin in early 2028.
Once all phases are completed, the complex is planned to have an annual DRI production capacity of approximately 8.1 million mt.
First phase to have 2.7 million mt capacity
The first phase of the Tosyalı SULB Libya DRI project is designed to have an annual production capacity of around 2.7 million mt. Arrangements for the natural gas supply required for the first phase have already been completed, while a dedicated power facility is also being developed to meet a significant portion of the complex's electricity requirements.
The overall project comprises three DRI production units with combined annual capacity of 8.1 million mt.
The use of natural gas-based DRI technology is expected to enable the facility to produce iron with lower carbon emissions compared with conventional coal-based blast furnace production, while providing the potential for greater hydrogen use in the future.
Around 90 percent of production targeted for exports
Ahmed Gadallah, Tosyalı SULB chairman, said approximately 90 percent of the project's production is expected to be exported, with international markets including Europe among its targets. The complex is also expected to produce rebar and steel pipes for the Libyan domestic market.
The project's Mediterranean location is expected to support shipments to European and African markets.
