SFE, Fertiglobe, Scatec agree on green hydrogen plant: Norway’s Scatec is set to build a 50-100 MW green hydrogen project in Ain Sokhna, in partnership with Nassef Sawiris-backed ammonia producer Fertiglobe and the Sovereign Fund of Egypt (SFE), according to a Cabinet statement. The new plant will be used as feedstock for green ammonia production, Scatec said. The facility will be built, operated and majority-owned by Scatec, which will have a long-term off-take agreement with Fertiglobe’s subsidiary EBIC. Construction of the plant is expected to begin next year and the facility should come online by 2024.

What is Egypt doing with green hydrogen so far? President Abdel Fattah El Sisi issued a directive to establish Egypt’s green hydrogen strategy in July, with an eye towards launching an initial phase of projects that could be worth USD 3-4 bn, according to previous statements by the Electricity Ministry. Several private sector players, including Siemens, Belgium’s DEME Group and South Korea’s Hyundai Rotem already signed in August to work with the government on feasibility studies. Taqa Arabia’s subsidiary Taqa Power has signed an MoU with German-based Man Solutions to pilot a green hydrogen project in Egypt.

Not sure what the green hydrogen fuss is about? Read our explainer here.

Speaking of Fertiglobe, its IPO on the Abu Dhabi bourse is off to a strong start with investor demand likely to see the offering priced at the top of the AED 2.45-2.65 per share price range, Al Arabiya reports. The final offer price is expected to be announced this Wednesday, 20 October, while shares should start trading on the ADX the following Wednesday, 27 October, according to an OCI announcement.

OTHER GREEN ECONOMY NEWS-

Independent power producer Globeleq has acquired ARC Renewable Energy’s 66 MW PV solar plant in Aswan’s Benban for an undisclosed sum, according to a statement. Globeleq, a subsidiary of the UK government’s development finance arm CDC Group, will provide ARC with asset management services and oversee the operation and maintenance contractor Gila Al Tawakol. The plant was developed by the SECI Energia, Enerray and Desert Technologies consortium in 2019 under a 25-year power purchase agreement.

More Globeleq investments in Egypt could be in the pipeline: “The country is a key target market for Globeleq and this acquisition provides a platform to support further investments in the country, including in solar PV, wind, battery energy storage and, in the longer-term, water desalination and green hydrogen projects,” the statement reads.

Advisors: Shahid Law was counsel to Globeleq on the transaction.