In less than 1 week: Egypt signs other MoUs to produce green hydrogen

CAIRO – 31 March 2022: Prime Minister Mostafa Madbouli attended Thursday the signing ceremony of two memoranda of understanding (MoUs) to build and operate a green hydrogen plant with a capacity of 100 megawatts at Ain Sokhna Industrial Zone affiliated to Suez Canal Economic Zone (SCzone).

The MoUs were signed between the Sovereign Fund of Egypt; Norway's Scatec ASA specialized in renewable energy systems; Orascom Construction; Fertiglobe; and, the Egyptian Fertilizers Company.

The MoU provides that Scatec ASA builds and operates the plant, whose output will be supplied to an Egyptian company owned by Fertiglobe, so it would use the hydrogen as a feeding material in the production of green ammonia in accordance to a long-term contract.

The project is the second of its kind to be announced in one week as the prime minister also witnessed the signing of an MoU to produce green hydrogen that will be used to fuel ships through a plant that will be located in Ain Sokhna either.

The signing parties were Maersk on one hand, and the General Authority for Suez Canal, the Sovereign Fund of Egypt, the New and Renewable Energy Authority, and the Egyptian Company for Electricity Transmission on the other hand.  

Egypt equally targets to produce green methanol, and green ammonia, specifically as ship fuels, given the special location of Egypt among the other qualifications that enable it to stand out in such fields.