Egypt and India have signed a memorandum of understanding (MOU) with an aim to establish a project to produce green fuels with an estimated investment of $8 billion.
“Signing this MOU with the Indian company ReNew power, which is working in the field of clean energy, is a preliminary agreement to establish an industrial complex project with total targeted investments estimated at $8 billion,” said Eng. Yehia Zaki, Chairman of the Suez Canal Economic Zone (SCZONE).
The stakeholder parties include the General Authority for Suez Canal Economic Zone (SCZONE); the Sovereign Fund of Egypt (TSFE); the Egyptian Electricity Transmission Company (EETC); the New and Renewable Energy Authority (NREA); and ReNew Power of India.
The project will be implemented in phases. The first phase starting 2023-2025, will use $710 million to produce 100,000 tons of green ammonia and 20,000 tons of green hydrogen. The production capacity in the second phase during 2025-2029 aims to produce 1 million tons of green ammonia and 200,000 tons of green hydrogen with estimated investments of about $7,147 billion. The site initially will be set on an area of 600,000 square meters in the Sokhna integrated zone, staging a total production capacity for the two phases of 1.1 million tons of green ammonia and 220,000 tons of green hydrogen.
The plant site initially will be set on an area of 600,000 square meters in the Sokhna integrated zone.
The signing ceremony was held in the presence of Dr. Mohamed Shaker, Minister of Electricity and Renewable Energy; Dr. Hala Al-Said, Minister of Planning and Economic Development; and Ajit Gupte, the Ambassador of the Republic of India to Cairo.
The MOU was signed by Eng. Yehia Zaki, Chairman of the Suez Canal Economic Zone;
Mr. Ayman Soliman, CEO of the Sovereign Fund of Egypt; Eng. Sabah Mashali, Chairman of the Egyptian Electricity Transmission Company; Dr. Mohamed El-Khayat, Chairman of the Authority of New and Renewable Energy; and Sumant Sinha, Chairman and CEO of ReNew Power.
SCZONE has so far signed eight MOUs in the field of localizing and manufacturing green fuels with several key global players and consortiums including the Danish Maersk, the Norwegian Scatec, the French EDF Renewables, the German H2 and others. SCZONE maintains efforts for the transition to a green economy and will strive to make several binding contracts for green hydrogen projects in conjunction with Egypt’s hosting of COP 27, to be held next November in Sharm El-Sheikh.
