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Italy and Algeria sign agreement for EUR 1 billion DRI plant

Italy signed an agreement this week with Algeria to build a EUR 1 billion direct reduced iron (DRI) plant.

Italy and Algeria sign agreement for EUR 1 billion DRI plant

The agreement was announced during an official visit by a high-level delegation from Rome to Algeria, demonstrating the concrete acceleration of relations between the two countries.

In the face of pressure from Europe to transition to renewable energy, Italy has focused in recent months on strengthening strategic partnerships outside of fossil fuels. In this context, Algeria, with its rich mineral resources, has emerged as a natural partner.

Under the project, a production facility will be established in Algeria to directly reduce iron ore. This facility will supply raw materials to both the Italian and European steel industries. The agreement is seen as part of the strategic steps taken by the two countries to deepen their industrial cooperation.

The agreement is also of great importance for Algeria, which has long sought to diversify its economy by leveraging its mineral resources. The project will also contribute to technology transfer and local job creation.

Italy has not only increased its cooperation with Algeria in the iron sector but also in green hydrogen, automotive, and agro-industrial sectors in recent years. This new cooperation represents a concrete extension of Rome's policies aimed at reducing dependence on fossil fuels.

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