Tosyali SULB to invest $2.5 billion in Libyan steel project

A Turkish-Libyan joint venture, Tosyali SULB, is developing a major industrial complex near Benghazi, Libya, with an expected investment of approximately $2.5 billion. The project aims to produce low-carbon direct reduced iron (DRI) using natural gas instead of coal to reduce emissions.

Commercial production is scheduled to begin in early 2028. The facility is designed for an annual production capacity of roughly 8.1 million tonnes of DRI, with the first phase targeting 2.7 million tonnes. Ahmed Gadalla, Chairman of Tosyali SULB, stated that approximately 90% of the output will be exported to international markets, specifically targeting Europe and Africa due to Libya’s Mediterranean coastline.

To support the project, arrangements for natural gas supplies have been finalized, and a dedicated power station is being constructed to ensure a stable electricity supply for the complex. In addition to DRI, the site will produce reinforcing steel and pipes for the Libyan domestic market.