Abu Dhabi-Based Masdar Joins Consortium To Produce Green Hydrogen In Egypt

Key details

The state-owned firm signed two memoranda of understanding (MoUs) with Hassan Allam Utilities, the investment and development arm of Hassan Allam Holding, as it targets an electrolyzer capacity of 4 gigawatts (GW) to produce up to 480,000 tons of green hydrogen per annum in different phases through 2030, Abu Dhabi-based Masdar said in a statement

The green hydrogen manufacturing facility, which is expected to be operational by 2026, will produce 100,000 tons of e-methanol annually for bunkering in the Suez Canal

The agreements will help strengthen the strategic partnership between the two countries in terms of clean energy as both prepare to host the UN COP27 and COP28 climate conferences, according to Masdar

The consortium also includes other state-backed organizations, the General Authority for the Suez Canal Economic Zone, the New and Renewable Energy Authority, the Egyptian Electricity Transmission Company, and the Sovereign Fund of Egypt

The MoUs to create the new green hydrogen plants are the fifth of their kind for green fuel production projects inside the Sokhna zone, according to Yehia Zaki, chairman of the Suez Canal Economic Zone. Zaki added that the other firm that signed the deal is now conducting feasibility studies for their projects

Crucial quote

“These agreements represent a vital step forward in developing the green hydrogen economy for both the UAE and Egypt, and will play a significant role in our two nations’ decarbonization efforts,” Masdar CEO Mohamed Jameel Al Ramahi said in a statement. “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

Clean energy projects

Since Masdar was established by Abu Dhabi’s Mubadala Investment Company in 2006, it has led the way in developing commercially-viable renewable energy projects in the Middle East and North Africa (MENA) region and across the globe

The Al Dhafra Solar Photovoltaic Independent Power Producer is one of Masdar’s biggest projects, which is currently under construction. Located 35 kilometers outside Abu Dhabi, the Al Dhafra project is being built in partnership with the Abu Dhabi National Energy Company (TAQA), EDF, and JinkoPower. It is expected to be completed by the end of this year and will have a 2GW capacity once fully operational, enabling it to power up to 160,000 homes

Masdar’s first floating solar PV project in Southeast Asia in Indonesia—the Cirata Floating Solar Photovoltaic Plant—will have a 145MW capacity when operational. It is being built in partnership with PT Pembangkitan Jawa-Bali Investasi, a subsidiary of Indonesia’s state-owned electricity firm PLN

In January this year, Masdar signed an agreement with Singapore’s Tuas Power, France’s EDF Renewables, and PT Indonesia Power to develop clean power projects within Indonesia for export to Singapore, following the wealthy Southeast Asian city-state’s announcement last year that it plans to import up to 4GW of low-carbon electricity by 2035

The agreement with the consortium envisages the development of solar photovoltaic facilities with about 1.2 GW capacity and potential associated storage, Masdar said in an earlier statement