Globeleq Signs Green Hydrogen Framework Agreement with Government of Egypt at COP27
Globeleq, the leading independent power company in Africa, has signed a Framework Agreement with the General Authority for Suez Canal Economic Zone (SCZONE), the Sovereign Fund of Egypt for Investment and Development (TSFE), the New and Renewable Energy Authority (NREA), and the Egyptian Electricity Transmission Company (EETC), to jointly develop a large-scale green hydrogen facility within the Suez Canal Economic Zone.
Globeleq, as lead developer and investor, will develop, finance, build, own and operate the green hydrogen project. Over the next 12 years, it will be developed in three phases, totalling 3.6 GW of electrolysers powered by up to 9 GW of solar PV and wind energy.
The first phase will involve a pilot project which will produce 100.000 tons p.a. of green ammonia from hydrogen, mainly targeting exports to Europe and Asia for use in fertilisers and is expected to start operations by 2026-27. Other potential end-uses of green hydrogen, including green fuels, will be considered in the medium and longer term, once they become commercially feasible.
Egypt's unique geographical location, at the crossroads of Africa, Europe, and Asia and with about 13% of global trade flowing through the Suez Canal, puts the country in a strategic position to become a global green energy hub.
Globeleq has been investing in Egypt since 2003 and currently owns the ARC for Renewable Energy S.A.E solar PV plant located at the Benban Solar Park near Aswan. Globeleq aims to support the country’s ambitious strategy to tackle climate change by developing new solar PV, wind, battery energy storage, seawater desalination and green hydrogen projects in Egypt.