With aims to become a key player in the global energy transition, Egypt is advancing its green hydrogen ambitions with a $40 billion investment plan. Through various agreements with international developers and the introduction of supportive laws including tax credits, VAT exemptions and port fee reductions, Egypt is positioning itself as a major green hydrogen exporter, particularly to Europe. The country’s abundant solar and wind resources, combined with its strategic location, make it a prime hub for green energy projects.
SK Ecoplant and CSCEC’s $2 Billion Hydrogen Project
Last March, construction engineering companies SK Ecoplant and China State Construction Engineering Corporation agreed to collaborate on a $2 billion green hydrogen and ammonia facility in Egypt’s Suez Canal Economic Zone (SCZone). The project will harness 778 MW of renewable energy – 500 MW of solar and 278 MW of wind – to produce 50,000 tons of green hydrogen and 250,000 tons of green ammonia annually. The project is slated for completion by 2029.
Scatec’s Green Hydrogen Project
With aims to produce 13,000 tons of green hydrogen annually, renewable energy company Scatec – in partnership with chemical company Fertiglobe, engineering contractor Orascom Construction, the Sovereign Fund of Egypt and the Egyptian Electricity Transmission Company – is developing a green hydrogen project in the Egyptian town of Ain Sokhna. Poised to use 270 MW of solar and wind energy, hydrogen from the project will serve as feedstock for Fertiglobe’s ammonia production.
The project, with a total capital expenditure of approximately $549 million, recently secured a $33 million grant from the PtX Development Fund, with backing from the German Federal Ministry for Economic Cooperation and Development and financial institution the KfW Development Bank. The project is on track to reach financial close by mid-2025, with additional support from the European Investment Bank and the European Bank for Reconstruction and Development.
AMEA Power’s Green Hydrogen Facility
Renewable energy company AMEA Power has signed an agreement to establish a green hydrogen facility in Egypt. The plant will utilize around 500 MW of renewable energy for hydrogen production, which will be primarily aimed at exporting to European markets. This project is part of Egypt’s broader effort to attract investment and scale up its green hydrogen initiatives in the SCZone.
Masdar, Hassan Allam Utilities and Infinity Power’s Green Hydrogen Project
Renewable energy developer Masdar, sustainable infrastructure developer Hassan Allam Utilities and renewable energy provider Infinity Power have joined forces with energy supermajor bp through a joint development agreement to explore the potential for a multi-phase green hydrogen project in Egypt. Under this agreement, bp will act as the lead developer and operator. The consortium aims to combine individual green hydrogen initiatives into a unified project, with a focus on exports. A framework agreement has been signed with the Egyptian government to initiate feasibility studies, furthering Egypt’s push toward becoming a global green hydrogen hub.
EDF Renewables and Zero Waste Egypt Green Hydrogen Plant
Egypt signed a €7 billion agreement with a consortium comprising independent power producer EDF Renewables and consulting firm Zero Waste Technologies to develop a large-scale green hydrogen and ammonia facility in Ras Shuqair. The project, set to start operations by 2027, will generate over one million tons of green ammonia annually. Set to support Egypt’s clean energy goals under the Paris Agreement and COP27, the project is poised to position the country at the forefront of the global energy transition.
