Algerian state-owned oil company Sonatrach and Tosyali Iron Steel Industry Algeria have signed a memorandum of understanding (MoU) to jointly explore the production of green hydrogen in Algeria.
The MoU outlines a feasibility study to assess the potential for green hydrogen production. The hydrogen produced will be utilized in the manufacture of green steel at Tosyali's steel complex in Algeria, according to Sonatrach.
Tosyali Iron Steel Industry Algeria, a subsidiary of Turkey's Tosyali Holding, operates an iron and steel production complex in Bethioua, Oran, Algeria's second-largest city.
The initiative aligns with Algeria's national hydrogen strategy, which seeks to reduce natural gas consumption and lower greenhouse gas emissions.