Abu Dhabi-based Masdar, the renewable energy giant, and Egypt’s Hassan Allam Utilities, the investment and development arm of Hassan Allam Holding Group, signed two MoUs with Egyptian state-backed organisations to cooperate on the development of green hydrogen production plants in the Suez Canal Economic Zone and on the Mediterranean coast.
“Today’s partnership agreements to explore the development of green hydrogen production demonstrates the strength of the close relationship between The UAE and Egypt,” said Sultan bin Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology, UAE Special Envoy for Climate Change and chairman of Masdar.
“These projects will build on the UAE’s and Masdar’s position as an early mover in the global hydrogen market and expand our capacity to deliver zero carbon energy solutions. As our two countries prepare to host the next two COPs, we look forward to working with our partners in Egypt to make practical advances in the energy transition that will provide significant benefits for the economy and the climate,” he continued.
The two projects will accelerate the energy transition process in the region, said the Prime Minister of Egypt Mostafa Kamal Madbouly, stressing that the country is working to encourage investment in green energy projects.
“These agreements represent a vital step forward in the development of the green hydrogen economy for both the UAE and Egypt, and will play a significant role in our two nations’ decarbonisation efforts,” said Mohamed Jameel Al Ramahi, CEO of Masdar.
“By working with partners such as Hassan Allam Utilities, we can help the green hydrogen market achieve its full potential over the coming years and play its part in supporting the global energy transition,” he added.
Egypt has abundant solar and wind energy resources that would provide a suitable location for renewable energy projects at a competitive cost, explained Hala El Said, Minister of Planning and Economic Development and chairperson of The Sovereign Fund of Egypt.
Along with its proximity to global markets that are looking to import green hydrogen, this will allow significant growth for this sector in the future, and the agreements are in line with “Egypt Vision 2030” and its sustainable development strategy, she said.
“Our drive into the green energy and infrastructure space, including solar and wind power generation, was all about contributing to a more sustainable future. Through this partnership with Masdar we are looking to harness the leading edge of technology to make a difference in Egypt by leveraging the country’s abundant sources of green energy,” said Amr Allam, CEO of Hassan Allam Holding.
“In the first phase of the project, Hassan Allam Utilities and Masdar aim to establish a green hydrogen manufacturing facility, which would be operational by 2026, producing 100,000 tonnes of e-methanol annually for bunkering in the Suez Canal. The electrolyser facilities in the Suez Canal Economic Zone and on the Mediterranean could be extended to up to 4 GW by 2030 to produce 2.3 million tonnes of green ammonia for export as well as supply green hydrogen for local industries,” he added.
Active in more than 40 countries across the world, Masdar is invested in a portfolio of renewable energy assets with a combined value of more than $20billion, and a total capacity of more than 15 GW.
In December, it was announced that Abu Dhabi National Energy Company PJSC (TAQA), Mubadala Investment Company and Abu Dhabi National Oil Company (ADNOC) will partner under the Masdar brand to create a truly global, clean-energy powerhouse intended to spearhead the drive to net-zero carbon by 2050 while cementing the UAE’s leading role in green hydrogen.
