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The Hydrogen Stream: Egypt unveils hydrogen plans for Suez Canal

March 6, 2024
in General
The Hydrogen Stream: Egypt unveils hydrogen plans for Suez Canal
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Egypt has clinched hydrogen deals with seven international developers, while the European Investment Bank (EIB) has agreed to support commercial production of Germany-based Sunfire’s solid oxide electrolyzers.

March 5, 2024 Sergio Matalucci

Container ship transiting the Suez Canal

Image: Daniel Csörföly, Wikimedia Commons

Egypt has signed seven agreements with seven international developers to develop green hydrogen production plans and renewable energy installations in the Suez Canal Economic Zone. The agreements will support about $12 billion of pilot-phase investments, in addition to about $29 billion for the first phase, said the Egyptian government, noting that this will bring the total to about $40 billion within 10 years. 

Yara and GHC SAOC, a wholly owned subsidiary of India’s Acme Cleantech, have signed a binding agreement to supply ammonia with reduced CO2 emissions from Acme to Yara. “The long-term offtake agreement between Yara and Acme covers the supply of 100,000 tons per annum of renewable ammonia and possibly the world’s first arm’s-length contract for renewable ammonia of this scale and tenure,” said Yara.

The EIB has agreed to support initial commercial production of Germany-based Sunfire’s solid oxide electrolyzers with up to €100 million ($108.5 million) in venture debt, with €70 million already signed. In the development of solid oxide electrolyzers, Dresden-based Sunfire will seek improvements in stack and module design, usinf new materials and optimizing design, in addition to automation and new production techniques, to simplify the production process, said the EIB.

The European Parliament and the Council of the European Union agreed to expand the uptake of sustainable fuels, such as advanced biofuels or hydrogen, in the aviation sector. The European Parliament said that beginning in 2025, a minimum of 2% of aviation fuels will be green. This percentage will progressively increase every five years to 6% by 2030, 20% by 2035, 34% by 2040, 42% by 2045, and ultimately reach 70% by 2050. The informal deal still needs to be approved by the Council Committee of Permanent Representatives and Parliament’s Transport and Tourism Committee, and then the European Council and the European Parliament.

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