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The Egyptian government has entered into investment agreements for the production of green ammonia worth US$87 million. Nine agreements totaling $83 million in value were struck at the COP27 United Nations Climate Change Conference, according to the country’s Suez Canal Economic Zone. A number of collaborations with multinational power corporations are included in the agreements in order to increase the region’s ammonia and hydrogen production capacities.

According to information obtained, the new facilities will make it possible to produce 7.6 million tonnes of green ammonia and 2.7 million tonnes of hydrogen.

In order to produce green ammonia, which is frequently used to generate fertilizers for agriculture, nitrogen must first be removed from the air using hydrogen. Egypt is accelerating the decarbonization of its electrical industry, concentrating mostly on solar and wind power, with an installed capacity of approximately 60,000 MW in 2020.

The largest solar park in Africa is located in the nation. According to the information that is currently available, Egypt has 11.62 gigawatts, or more than 1.57 million tonnes, of green hydrogen project pipeline. These actions are consistent with the nation’s stated intention to establish itself as the region’s green hydrogen hub. 11 percent of the nation’s energy in 2019 came from renewable sources, and by 2035, it wants to reach 100 percent.

 

Pirmak Zwanbun

Pirmak is a senior researcher at the African Energy Institute. He has 10 years of experience across the energy verticals of power, hydrogen, oil, gas, LNG and renewable energy.