ACWA Power, a private water desalination company will develop the first phase of the green hydrogen project in Egypt with a capacity of 6,00,000 tons-per-year of green ammonia, with an investment in excess of $4 billion, with the intention of scaling up to a second phase with a potential capacity of two million tons-per-year.
The agreement was signed between ACWA Power and The Sovereign Fund of Egypt (TSFE), the Suez Canal Economic Zone (SCZone), the Egyptian Electricity Transmission Company (EETC), and the New and Renewable Energy Authority (NREA).
The framework agreement lays out the development of the first phase of a green ammonia project with a capacity of 6,00,000 tons-per-year powered by wind and solar plants, with the intention of working on a larger green hydrogen project in the country which could have a capacity of up to two million-tonnes-per-year of green hydrogen.
“As a first mover in green hydrogen, ACWA Power is proud to bring its expertise in this new and exciting market to Egypt. We commend our partners for their bold step into producing the fuel for the future, for which there will be great demand in Europe and the rest of the world. Egypt is well-positioned to become one of the world’s top producers of green hydrogen and we are elated to be a part of the country’s energy transition,” commented Marco Arcelli, Chief Executive Officer, ACWA Power.
The press release stated that the development is well underway at the NEOM Green Hydrogen Project, a joint venture between ACWA Power, Air Products, and NEOM to create the world’s first utility-scale green hydrogen plant in the northwest of Saudi Arabia. The project will be capable of producing 1.2 million tons of green ammonia per year. The first wind turbines were delivered to the site in October.
