Egypt is laying the foundations for a significant industrial pivot in its energy sector, with two separate technology agreements signed with American multinational Honeywell that will produce the country’s first sustainable aviation fuel and expand its petrochemicals manufacturing capacity — both forming part of a five-year national plan to maximise value-added industries and reduce carbon emissions.
The Egyptian Sustainable Aviation Fuel Company — a subsidiary of the Egyptian Petrochemicals Holding Company — has signed a technology licence agreement with Honeywell to deploy its Ecofining technology in Egypt’s inaugural SAF production project, based in Alexandria. Ecofining converts non-petroleum organic materials into renewable fuels, primarily sustainable aviation fuel and renewable diesel, using locally available waste as feedstock. The project is expected to cut carbon emissions from aviation by approximately 400,000 tonnes annually, and forms part of the Ministry of Petroleum and Mineral Resources’ broader strategy to diversify Egypt’s energy mix and position the country as a regional clean fuels producer.
In a parallel development, the Egyptian Linear Alkyl Benzene Company has signed a Letter of Award with Honeywell UOP for licensing, basic design, and supply of key equipment for Front End units that will produce straight-chain paraffins — an initial processing stage in downstream petrochemical manufacturing. Together, the two projects are projected to deliver around 400,000 tonnes of high-quality aviation fuel and 80,000 tonnes of straight-chain paraffins annually, using kerosene as feedstock. The Ministry said the output will help reduce Egypt’s import bill and generate additional foreign currency inflows.
The agreements reflect the Ministry of Petroleum’s determination to move Egypt’s hydrocarbon sector up the value chain — capturing more of the economic benefit from the country’s oil and gas resources domestically rather than exporting raw feedstocks and reimporting finished products at higher cost.
Source: Egypt Oil & Gas