Friday 27 Dec
Hussam Heiba, CEO of the General Authority for Investment and Free Zones, met with Tomoho Omida, Founder and CEO of Polish company Henfra, and Hussein Al-Ghazawi, Executive Partner of Henfra in Egypt, to discuss the establishment of a green ammonia production plant in Egypt. Yehya Al-Watheq Bellah, Commercial Counselor and Head of the Commercial Representation Authority, also attended the meeting.
Tomoho Omida announced that Henfra plans to establish five green ammonia plants to supply Eastern and Central Europe. Egypt has been selected as the location for one of these plants, with an initial annual production capacity of 100,000 tons. This phase is expected to be completed by 2030, with the company aiming to ultimately increase production to 1 million tons per year.
Omida emphasized that the plant
will leverage Egypt's abundant renewable energy resources, primarily solar and
wind power, to ensure a completely green production process. The company
intends to construct power plants with a minimum daily capacity sufficient to
meet its needs, with excess electricity being fed into the national grid. This
will contribute to Egypt's goal of increasing its reliance on renewable energy.
Additionally, Henfra will share its expertise in green hydrogen and ammonia
production, renewable energy storage, electrolysis technologies, and water
desalination with the Egyptian market.
The company aims to produce green
hydrogen through water electrolysis, followed by the reaction of green hydrogen
and nitrogen at high temperatures to create green ammonia. All these processes
will be powered by renewable energy sources.
Hussein Al-Ghazawi, the company's
executive partner in Egypt, announced that the initial investment for this
project will be $1.6 billion, with the potential to increase to $10.6 billion
as production capacity expands. The entire production is destined for export to
the European Union, with long-term export agreements already secured.
Hussam Heiba emphasized Egypt's
commitment to the green hydrogen and ammonia sectors, citing the recent
issuance of incentives for green hydrogen production projects and the
establishment of the National Council for Green Hydrogen. The golden license, a
comprehensive permit for project establishment, has been granted to several
green hydrogen and ammonia projects. Heiba also mentioned the Egyptian-European
Investment Conference, which resulted in agreements and memoranda of
understanding worth over 67 billion euros, many of which align with Egypt's
Vision 2030 and focus on renewable energy production and export.
Heiba further noted that the
European Union aims to import substantial quantities of green hydrogen and
ammonia by 2030. Egypt and the EU are actively collaborating to position Egypt
as a major supplier in this sector, leveraging the comprehensive strategic
partnership agreement between the two parties.
Hussam Heiba concluded by emphasizing Egypt's supportive investment climate and the availability of ideal locations for Henfra's project, considering factors like abundant renewable energy resources and proximity to export ports. The General Authority for Investment and Free Zones is committed to providing full support to the company throughout all project stages, from licensing to operations.
