- Scatec and its partners, ECHEM and MOPCO, have agreed on Heads of Terms for renewable ammonia offtake from Egypt with Yara Clean Ammonia, the world’s largest trader- and distributor of ammonia.
Last year, Scatec, the Egyptian Petrochemicals Holding Company (ECHEM) and Misr Fertilizers Production Company (MOPCO) (the “Sponsors”) entered into a joint development agreement and a shareholder agreement for the production of renewable ammonia.
The Sponsors will develop and build up to 480 MW of renewable energy and an up to 240 MW electrolyser facility for production of renewable hydrogen, which will be used as feedstock for production of renewable ammonia at MOPCO’s existing ammonia production facility at Damietta in Egypt. The targeted production capacity is up to 150,000 tonnes of renewable ammonia per annum.
Scatec also signed a letter of Intent with the European Investment Bank (“EIB”) for long-term financing for the project, showcasing EIB’s commitment to support renewable hydrogen and renewable ammonia projects in Egypt.
“Enabling industry to harness renewable energy is key for the green transition. Accelerating renewable hydrogen production in Egypt can strengthen business competitiveness and unlock opportunities to export renewable hydrogen. The European Investment Bank looks forward to working with Scatec and project partners to unlock large scale renewable hydrogen investment across Egypt,” says EIB Vice President Gelsomina Vigliotti.
Author: Bryan Groenendaal
