Ministers have awarded a golden license for a USD 5.5 bn green ammonia plant in Ain Sokhna, cabinet said in a statement following its weekly meeting yesterday. The plant will have an annual production capacity of 1 mn tons and will create 10.6k jobs during the construction and operation phases, according to the statement.

Who’s building it? A company going by the name of the Egypt Green Ammonia Company was handed the license for the facility. We’ve so far been unable to obtain any information about the company or its ownership.

That’s not all: The 100 MW green hydrogen plant being developed by Scatec, Fertiglobe and Orascom Construction also received a license from ministers yesterday. The companies last month began commissioning the first phase of the USD 135 mn plant and signed a framework agreement at COP27. The facility will produce up to 15k tons of green hydrogen a year.

Part of Egypt’s push to become a regional hub for green energy: The government signed nine framework agreements during COP27 with foreign companies to construct several green hydrogen and ammonia facilities in the Suez Canal Economic Zone. The facilities would cost a combined USD 83 bn and would collectively produce up to 7.6 mn tons of green ammonia and 2.7 mn tons of hydrogen a year when fully operational.

The plants were two of eight projects worth a combined USD 6.8 bn that were awarded golden licenses yesterday as part of government efforts to attract more investment into the industrial sector:

• A USD 400 mn feed, chemicals, and phytonutrients factory by Emirati fertilizer company CFC Group in Qena.
• A EGP 8.8 bn (USD 356 mn) home and electrical appliances manufacturing and assembly facility by El Araby Group in Menoufiya.
• A EGP 3.8 bn (USD 154 mn) factory that will produce vaccines and other medical products.
• A USD 135 mn industrial complex for electrical appliances by Haier Egypt in an industrial zone southwest of 10th of Ramadan.
• A EUR 100 mn (USD 107 mn) project by Sumitomo Electric Wiring Systems Egypt to manufacture wiring systems for vehicles in Tenth of Ramadan.
• A USD 30 mn project in Fayoum by Yazaki Egypt to manufacture wire harnesses for vehicles.

Golden licenses? Golden licenses fast-track new industrial and infrastructure projects. Also known as “single approval licenses,” they allow investors to require only one approval that covers everything from establishing the project, including land allocation and building licensing, through to the operation and management of the project. You can check our guide on the golden license here.

REMEMBER- The approvals come weeks after President El Sisi ordered that all investors be granted three-month golden licenses, making it easier for them to set up projects. It’s unclear if the approvals for the selected projects yesterday would only be set for three months.

PRICE CAP ON RICE EXTENDED-

The cabinet approved an extension of the price cap on white rice for an additional three months, according to a separate cabinet statement. It extended price caps on rice depending on quality per kg, with premium quality set at no more than EGP 18. Other packaged rice is set at EGP 15, while non packaged rice will be sold at no more than EGP 12.

REMEMBER- Rice has been designated as a “strategic commodity” last month for at least three months under efforts to deter traders who try to exploit the opportunity to hoard rice amid a global shortage of commodities.

EASIER TERMS FOR EXPAT CAR SCHEME-

Cabinet wants to make it easier for Egyptians living abroad to buy a car under the government’s new car import scheme. Buyers will no longer be required to deposit fees for the program three months before transfers are made, cabinet said yesterday. They can instead provide to the government with a bank statement as proof of their ability to pay. A requirement to have the Foreign Ministry certifying residences, bank statements and other documents related to the imported vehicles data was also scrapped. The moves are designed to make it easier for Egyptian expats to benefit from the program, Cabinet spokesman Nader Saad said, according to the statement.