Sunday, October 17, 2021

Scatec, partners to build up to 100-MW green hydrogen plant in Egypt

October 14 (Renewables Now) – Norwegian renewable power producer Scatec ASA (OSL:SCATC) will work with Fertiglobe plc and The Sovereign Fund of Egypt (TSFE) to jointly develop a green hydrogen production plant in Egypt with an electrolyser capacity of between 50 MW and 100 MW.

The purpose of the project, which is part of Scatec’s “Power to X” strategic initiative, is to produce green hydrogen that will then be used as feedstock for green ammonia production. The project also represents the first step towards developing a green hydrogen hub in Egypt.

Scatec will build, operate and own the plant through a majority stake, while selling its output to EBIC, a unit of Fertiglobe. The latter is an ammonia producer jointly owned by OCI NV (AMS:OCI) and Abu Dhabi National Oil Company (ADNOC).

The location of the plant will be close to EBIC in Ain Sokhna. Scatec said it will begin the required engineering and development immediately with the hope of making an investment decision next year. Commercial operation is scheduled for 2024.

The partners will turn to the government of Egypt for support in obtaining the needed regulatory approvals and in sourcing renewable electricity from the grid. Scatec noted that there is a plan to build out new solar and wind capacity to power the country’s green hydrogen ambitions in the years to come.

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