- Turkish steel giant Tosyali Holding plans to invest $5 billion in a new steel mill in Saudi Arabia, signing an MoU with Saudi authorities.
- The flagship project will incorporate large-scale solar and hydrogen technologies to produce steel through clean energy and reduce carbon emissions.
- As part of its global expansion, the new Saudi plant aims to add over 2 million tons of annual steel output capacity and help Tosyali double revenues to $7 billion.
One of Turkey’s largest steel producers, Tosyali Holding, has announced plans to pour $5 billion into constructing a state-of-the-art steel mill in Saudi Arabia. The new plant will utilize cutting-edge green technology to produce high-quality steel in an environmentally sustainable way.
Speaking at the World Economic Forum in Davos, Tosyali Holding Chairman Fuat Tosyali revealed that a memorandum of understanding has been signed with Saudi authorities. The deal is part of Tosyali’s global expansion across strategic markets in the Middle East, Africa, Europe and beyond.
The planned steelworks will incorporate revolutionary solar and hydrogen power capabilities. Tosyali aims to dramatically scale up its solar farms to generate 2,500MW of clean energy – over ten times the current output. Hydrogen technology will also be optimized to decarbonize steel production processes.
With green energy at the core, the ambitious Saudi project aims to set a new benchmark for sustainable steel manufacturing. It follows similar large-scale investments by Turkish steel giants Erdemir Group to modernize facilities and significantly reduce carbon footprint.
When complete, the new plant will add to Tosyali’s rapidly growing production capacity. Globally, the company hopes to lift annual steel output to 14 million tons and double revenues to $7 billion by leveraging projects in multiple regions.
The greenfield investment exemplifies Turkey’s growing role as a supplier of high-quality steel to the Middle East and international markets. It also demonstrates Saudi Arabia’s strategy to attract foreign direct investment that creates jobs while transitioning to cleaner energy industries.
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Last Updated on January 17, 2024 by Safiya K
