The European Bank for Reconstruction and Development (EBRD) is supporting the decarbonization and Paris alignment of Egypt’s economy with a US$ 80 million loan to Egypt Green to develop the country’s first green hydrogen facility.
Egypt Green is owned, built and operated by Fertiglobe, one of the largest seaborne exporters of combined urea and ammonia, Scatec ASA, a Norway-based integrated independent power producer, Orascom Construction, one of the largest engineering and construction groups in the Middle East and North Africa, and the Sovereign Fund of Egypt, a state-owned, privately managed investment fund positioning itself as the partner of choice in Egypt.
Reducing the amount of CO2 produced during the manufacturing process is, therefore, key to helping the world achieve its net zero targets by 2050. Using green hydrogen, produced by means of renewable energy, is seen as the critical step in getting there.
This landmark project is a first step towards the decarbonization of the ammonia sector in Egypt. It will serve as a benchmark for future green hydrogen projects and showcase that hydrogen and ammonia production can be decarbonized in Africa’s largest ammonia-producing country, where current production is natural gas based, generating significant carbon emissions.
Egypt is a founding member of the EBRD. Since the start of its operations there in 2012, the Bank has invested more than €10 billion in 154 projects across the country.