More than $37 billion will be invested across the initial stages of hydrogen and ammonia production projects, ranging in location from the Gulf of Suez to west of the Nile Delta. A series of agreements concerning existing and newly-announced projects were signed at the recent Egypt-EU Investment Conference.
ACWA Power will develop a 150,000 tonnes-per-year renewable ammonia project in Indonesia, powered by 600 MW of wind and solar energy. The Saudi-based company also commenced construction on the first phase of its 500,000 tonnes-per-year renewable ammonia project in Uzbekistan, and has progressed development of a renewable mega-project near the Suez Canal.
Masdar joint venture Infinity Power, Germany-based Conjuncta and the government of Mauritania have agreed to develop an export mega-project. Up to 8 million tonnes per year of renewable fuels of non-biological origin will be produced for export to Germany. In Egypt, Masdar’s two million tonne per year ammonia fuel project on the Suez Canal has been fast-tracked via a “golden license”.
For our December episode of Ammonia Project Features, we welcomed Alzbeta Klein (International Fertilizer Association) and Tarek Hosny (Fertiglobe). Our speakers discussed a pathway forward for Egypt’s fertilizer industry to decarbonize, presented the newly-commissioned Egypt Green Hydrogen project, and outlined the unique advantages (and challenges) of developing renewable production projects in Egypt.
The number of renewable hydrogen-based projects planned for the Suez Canal Economic Zone has now reached fifteen. Of the seven new MoUs signed in late August, four are targeting renewable ammonia production. Saudi-based alfanar, African energy developer Globeleq, Mediterranean Energy Partners and renewable energy developer Actis are all planning renewable ammonia production plants, with ACME Group also signing an MoU for a multi-million tonne renewable hydrogen plant in the SCZONE.
India-based ReNew Power and the SCZONE have signed an agreement to develop a new, $8 billion, million-tonne-per-year renewable ammonia production plant near Ain Sokhna in Egypt. The first phase, producing 100,000 tonnes per year of renewable ammonia, is targeted for completion between 2023 and 2025.
Total has signed a new MoU with the General Authority for Suez Canal Economic Zone (SCZONE) to develop a renewable ammonia project in Ain Sokhna, Egypt. The first phase targets production of 300,000 tonnes of renewable ammonia per year. SCZONE is now involved with six renewable hydrogen-based projects near the Suez Canal totaling more than $10 billion in investment, and featuring about 1.5 million tonnes of renewable ammonia production in the first phase (expanding to at least 6 million tonnes per year).
A series of new announcements illustrates the growing importance of Egypt, the Suez Gulf and the area designated the Suez Canal Economic Zone to the ammonia energy transition: