Egypt aims for top spot as green hydrogen producer

The North African country has ample solar and wind energy resources

When Egypt hosted COP27 a couple of years ago, it was impossible to notice the number of largescale green hydrogen production projects within the massive Suez Canal Economic Zone (SCZone).

Even then, it was obvious that Egypt saw its own potential

The country is ideally suited for generating both solar and wind electricity, both of which can provide the renewable power necessary for electrolyzers to generate green hydrogen and ammonia to export.

The Egyptian government celebrated the signing of eight framework agreements at COP27, having partnered with Alfanar, Scatec, ACWA Power, TotalEnergies, and Masdar, among others. That said, though the headlines eased for a stretch, the progress for H2 in the country has continued.

In February 2024, the SCZone and government agencies signed seven MoUs with developers focused on clean H2.  This has brought the number of projects for green hydrogen production up to 30 in Egypt.

Though some of these green hydrogen projects won’t happen, some will

Considering the trends within the industry and the region, it is likely that some of those clean H2 projects won’t ever become anything. That said, with so many announced projects on the go, it is more than likely that there will be some strong options that will indeed come to fruition. There are a number of particularly credible ones that are already standing out.

If only a fraction of the projects – particularly those led by infrastructure and energy companies – move forward and become operational, the outcome could be powerful for the region and for Egypt itself.

A project gaining particular attention

Among the stand-out projects, one that is already receiving considerable attention is by AMEA Power, a company based in Dubai. AMEA has substantial experience in developing renewable energy in Africa and Central Asia and is knowledgeable about the Egyptian market. It is already building a 500 MW solar photovoltaic plant in the country’s southern Aswan Governorate, as well as another 500 MW wind farm in the Red Sea Governorate at Ras Ghareb.

The company has now directed its attention to green hydrogen production in the country and announced its project back at COP27.  It intends to build a 500 MW electrolyzer and renewable ammonia production plant near Ain Sokhna in the SCZone.