- Globeleq enters MoU with local authorities in Egypt to set up 3.6 GW electrolyzer capacity in Suez Canal Economic Zone
- It is planned to be powered by 9 GW of solar PV and wind energy generation facilities
- Phase I will comprise a 100 MW electrolyzer as a pilot project with an eye for long term offtake agreements with local and international companies
African independent power producer (IPP) Globeleq has proposed to establish a 3.6 GW strong green hydrogen project in Egypt’s Suez Canal Economic Zone, to be powered by around 9 GW of solar PV and wind power generation.
The company with its corporate headquarters in London, UK, has entered a memorandum of understanding (MoU) for the same with the New and Renewable Energy Authority (NREA), the General Authority for Suez Canal Economic Zone (SCZONE), the Sovereign Fund of Egypt For Investment and Development (TSFE), and the Egyptian Electricity Transmission Company (EETC) to this effect.
Plan is to realize 3.6 GW electrolyzer capacity in 3 phases, with 100 MW coming up under phase I as a pilot project. It will initial focus on green ammonia fertilizers while considering other end-uses of green hydrogen in the medium and long term, including green fuels.
Long term offtake agreements will be considered by Globeleq with ‘leading and creditworthy’ Egyptian and international companies to support their decarbonization plans.
Globeleq is majority (70%) owned by the British International Investment (BII) which was previously known as the CDC Group, and 30% is owned by Norfund.
Globeleq aims to competitively produce hydrogen for local markets and for exports. According to the company, “Egypt’s unique geographical location, at the crossroads of Africa, Europe, and Asia, with about 13% of the global trade flowing through the Suez Canal, puts the country in a position to become a global green energy hub.”
“The partnerships we are witnessing are a translation to the state’s integrated strategy to diversify energy sources and localise green hydrogen production with all its components covering upstream and downstream stages, with the aim of transforming Egypt into a regional green energy hub,” said CEO of the Sovereign Fund of Egypt, Ayman Soliman.
In July 2022, India’s ReNew Power also entered a MoU with SCZONE, TSFE, EETC and NREA to build a 220,000 ton green hydrogen project in Egypt to produce 1,100,00 million ton green ammonia (see Green Hydrogen & Green Ammonia Project In Egypt).