Egypt’s Hassan and Masdar signs agreements to develop green hydrogen plant

EGYPT – Egypt’s Hassan Allam Utilities and UAE’s Masdar have signed agreements with state-backed Egyptian organizations to develop large-scale green hydrogen projects in Egypt.

In the first phase, the companies aim to establish a green hydrogen manufacturing unit that is capable of producing 100,000 tonnes of e-methanol annually for bunkering in the Suez Canal.

The electrolyzer facilities in the Suez Canal and on the Mediterranean could also be extended to up to 4 gigawatts by 2030 to produce 2.3 million tonnes of green ammonia for export and green hydrogen for local industries.

The agreements demonstrate the close relationship between the UAE and Egypt, said Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology, Special Envoy for Climate Change, and chairman of Masdar.

These projects will build on the UAE’s and Masdar’s position as an early mover in the global hydrogen market and expand our capacity to deliver zero-carbon energy solutions,” he said.

As our two countries prepare to host the next two Cops (UN climate conferences), we look forward to working with our partners in Egypt to make practical advances in the energy transition that will provide significant benefits for the economy and the climate.”

Egypt has been building on its green hydrogen ambitions in recent months, especially as it is set to host the Cop27 climate summit in Sharm El Sheikh this November.

The country signed a US$3 billion agreement this month with a consortium led by French firm EDF Renewables and Egyptian company Zero Waste to develop a green hydrogen megaproject in Ain Sokhna on the Red Sea.

The project is expected to produce up to 350,000 tonnes of green fuel annually for ships passing through the Suez Canal.

The North African country also partnered with Norway’s Scatec in March to build the country’s first green ammonia plant at a cost of US$5bn, with a production capacity starting at 1 million tonnes annually, increasing to 3 million tonnes.

Egypt has abundant solar and wind resources that allow for the generation of renewable power at a competitive cost, a key enabler for green hydrogen production.

The North African country is working to encourage investment in green energy projects and accelerate the energy transition process in the region.

In addition, it is also reviewing its national energy strategy and plans to add green hydrogen to its mix, the statement said.

Liked this article? Subscribe to DealStreet Africa News, our regular email newsletter with the latest news, deals, and insights from Africa’s business, economy, and more. SUBSCRIBE HERE

Other Recent Posts

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.