During the Egyptian-European Investment Conference, Egypt signed two binding contracts with Norwegian companies Scatec and Yara Clean Ammonia to purchase green ammonia. The first contract was signed with Scatec and Fertiglobe, while the second contract was signed with Yara Clean Ammonia for the same duration.
The signing of these contracts marked a significant milestone in Egypt’s efforts towards sustainability and clean energy production. The Prime Minister of Egypt, Dr. Mostafa Madbouly, met with key figures from both Scatec and Yara Clean Ammonia to express appreciation for their collaborative efforts.
The success of these contracts can be attributed to the efforts of the Egypt Green Hydrogen Alliance, led by Scatec, Fertiglobe, Orascom Construction, and the Egyptian Sovereign Fund. This alliance played a crucial role in securing these agreements by developing a green hydrogen production station with a capacity of 100 megawatts in the Suez Canal Economic Zone.
The project aims to produce 13,000 tons of green hydrogen annually, which will be converted into 70,000 tons of ammonia produced from renewable energy sources. The total investment for this project is estimated at $500 million, with plans to build solar and wind energy production stations to support the production processes. With long-term agreements in place, this project is set to supply green ammonia to Fertiglobe for the next two decades.
Minister of Petroleum and Mineral Resources Eng. Tarek El Molla highlighted the confidence that Egypt has placed in this project and its investment climate. The initial investment cost is estimated at $900 million with a production capacity of up to 150 thousand tons of green ammonia annually. Additionally, this project aims to generate renewable energy from wind and solar sources with a total capacity of up to 480 megawatts.
These projects include several components such as seawater desalination plants and marine piers for exporting green ammonia from Damietta Port showcasing Egypt’s commitment towards sustainability and clean energy production