Egypt is developing investment incentive packages aimed at increasing the country’s share of the global green hydrogen market to 8 percent with an estimated production of 10 million tonnes per year in the coming decades, according to Minister of Petroleum and Mineral Resources Karim Badawi.
Badawi highlighted Egypt’s unique geographic position in the Middle East, which serves as a natural gateway to Africa and a link to Europe, and already has energy interconnection projects with Cyprus and Greece. He emphasized the importance of the Suez Canal as a central hub in hydrogen supply chains, complemented by the Suez Canal Economic Zone, which has strong infrastructure to support renewable energy projects, green energy industries, and facilities to provide ships with green fuels.
The minister highlighted the green ammonia production project at Misr Fertilizers Production Company complex in Damietta in cooperation with Norway’s Scatec and Yara International. The project, signed in July 2024, aims to utilize 480 megawatts from solar and wind energies to produce 150,000 tonnes per year of green ammonia, starting in 2027.
Badawi also shed light on the role the sector plays in maximizing the use of critical and rare minerals needed for renewable energy projects, which are essential for the green hydrogen industry. This aligns with Egypt’s target to increase renewable energy’s contribution to generated power to 42 percent by 2030.
The minister expressed Egypt’s eagerness to cooperate with Oman, which has made progress in developing its hydrogen industry, and stated interest in adopting best practices and exchanging knowledge, expertise, and technology with Omani counterparts.
Badawi also met with Oman’s Minister of Energy and Minerals, Salim bin Nasser Al Aufi, to boost cooperation between both countries in the oil, gas, and mining sectors. Both sides reviewed opportunities to expand Egyptian petroleum companies’ presence in Oman, including their participation in infrastructure projects and delivering natural gas to households. They discussed exchanging expertise and organizing training programs on the natural gas and petrochemicals front between the Egyptian Natural Gas Holding Company and Oman Oil Company.
Badawi pointed to promising mining investment opportunities under the Memorandum of Understanding signed earlier this year, emphasizing the current growth of Egypt’s mining sector.
Source: egyptoil-gas.com