Egypt signs green hydrogen production deal in Sokhna

Egypt’s clean energy ambitions just garnered a major boost with the signing of a groundbreaking agreement for a new 100 MW green hydrogen production project at the Port of Sokhna.

Witnessed by Egyptian Prime Minister Moustafa Madbouly during the Egypt-EU Investment Conference, the Sovereign Fund of Egypt (TSFE), Orascom Construction, Norwegian renewable energy producer Scatec, and Abu Dhabi-listed fertiliser maker Fertiglobe have signed the agreement.

The project is expected to produce around 13,000 tons of green hydrogen annually, which will be converted into approximately 70,000 tons of ammonia using renewable energy. It encompasses the construction of two solar and wind power plants with a combined capacity of 270 MW to power the hydrogen electrolysis and ammonia manufacturing processes.

A groundbreaking 20-year offtake agreement has been secured with Fertiglobe for the project’s green ammonia output, said Ayman Soliman, CEO of TSFE, in a Cabinet statement.

The project commenced in 2021 with the goal of developing, building, and operating a 100 MW green hydrogen production facility. The pilot phase was successfully launched during COP27, the UN Climate Change Conference held in Sharm El Sheikh in 2022.