China Energy could start work on a USD 5.1 bn green hydrogen plant in May
Another green hydrogen facility in the pipeline: China Energy could start working on a USD 5.1 bn green hydrogen facility in Egypt in May, the company’s CEO, Ye Jianming, said during a meeting with Prime Minister Moustafa Madbouly yesterday, according to a cabinet statement. This comes a few months after the company signed an MoU with the government to conduct feasibility studies on establishing green hydrogen and ammonia plants.
What’s next? A China Energy delegation will visit Egypt next month to iron out the project details.
There are potentially many more hydrogen projects in the pipeline: The state inked framework agreements worth c. USD 83 bn for nine green hydrogen and ammonia plants at COP27 last year. The plants would produce up to 7.6 mn tons of green ammonia and 2.7 mn tons of hydrogen a year when fully operational.
Green hydrogen strategy coming soon: Sources in the know have told us that the Madbouly government’s long-awaited hydrogen strategy should be unveiled this month. The national hydrogen strategy has been in the works since 2021 and will provide a regulatory framework for the local production of green hydrogen, covering the whole value chain — supply, demand, and infrastructure. It was set to be unveiled during the COP27 climate summit in Sharm El Sheikh, but was delayed. We recently talked to a number of industry players to see what they expect to see from the strategy.
More to come from China Energy? The company is also interested in investing in Egypt’s electricity grid and partnering with the Housing Ministry to manufacture pumps for sewage and water desalination plants.
The news got coverage internationally from Reuters.