He added, in an interview with Iqtisad, Sky News Arabia, that the total investments for the four projects signed by the authority during the last period amounted to about 10 billion dollars, indicating the possibility of signing two new memoranda of understanding before the end of this month.
Four Egyptian government agencies, including the Suez Canal Economic Zone and the Sovereign Fund of Egypt, signed a memorandum of understanding with the Green Fuel Alliance, which includes Zero West and EDF Renewables, to produce 350,000 tons of green fuel annually to supply ships in the Ain Sukhna region, with investments of 3 billions of dollars.
It also signed another memorandum of understanding with the Emirati company “EMEA Power” to set up a project to produce about 390,000 tons of green ammonia annually within the Suez Canal Economic Zone.
green fuel complex
Zaki pointed out that the authority is currently studying the allocation of space within the economic zone to establish an integrated complex for the manufacture of green fuel products through renewable energies that are generated, whether from solar or wind energy, and then transporting these products to the port of Sokhna.
“The aim of these memoranda is to prepare the atmosphere for global alliances to start the financial, technical and legal studies necessary to reach the stage of contracting with Egypt during the upcoming climate conference in Sharm El Sheikh COP27.” According to Zaki.
Egypt signed a memorandum of understanding during the past two weeks with a consortium that includes the Norwegian company “Scatec” to establish a green ammonia production facility with a capacity of one million tons annually using green hydrogen, and another memorandum of understanding with the international company “Maersk” to establish a project to provide clean energy and green fuel in sufficient quantities to reach zero carbon emissions. In sea freight, the company “Maersk” is preparing 12 ships to work with green hydrogen.
“Green fuel projects are very important to us and we are now in the process of preparing and signing memoranda of understanding with a group of 4 global alliances, and before the end of this month we expect to sign two new memoranda of understanding for the production of green fuel.” According to Zaki’s statements to the economy of Sky News Arabia.
He stressed that the percentage of partnership in these projects has not yet been determined, and that the total investments for the four projects for which memorandums of understanding have been signed are close to $10 billion, expecting to produce about 5 to 6 million tons of green ammonia and green hydrogen during the first phase of these projects.
Additional incentives
Zaki stressed that the Egyptian Cabinet is currently studying an additional set of incentives to be granted to green fuel production projects established within the Suez Canal economic zone.
Egyptian Prime Minister Mostafa Madbouly confirmed that Egypt is accelerating the pace towards adopting proposals aimed at attracting more foreign investments in the field of green hydrogen production, including the adoption of additional incentives for investment in this field.
He added that the current period is witnessing an update of the “energy strategy” to include green hydrogen as an energy source, which supports its strategy towards becoming a regional center for new and renewable energy and the sustainable development strategy “Egypt 2030”.
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