Direct reduced iron (DRI) is a metallic iron product used in electric arc furnace (EAF) steelmaking. It is produced from iron ore in a thermal, natural gas based process, & because of its purity and consistency tends to carry a price premium to scrap. It is sold as pellet, lump or in briquetted form (HBI – hot briquetted iron).
DRI is principally used as part of a furnace charge when EAF steelmakers need a high quality raw material to dilute undesirable elements in their main scrap feed. It is mostly favoured by mills producing sheet or special quality long products. And for more detail click and see wikipedia entry.