meed-logo

line1 line2 line3
SIGN IN / REGISTER

Egypt Green Hydrogen obtains $33m grant

11 October 2024

Egypt Green Hydrogen (EGH), the project company led by Norway’s Scatec, has signed an agreement with Germany’s PtX Development Fund for a grant of €30m ($32.8m) to partially finance the project, which will have a total capex of about €500m.

The German Federal Ministry for Economic Cooperation & Development and the country’s main development bank, KfW, established the PtX Development Fund.

It is the first grant approved by the fund, which investment company KGAL manages. The fund aims to support Power-to-X projects – facilities producing derivatives from renewable energy – in developing and emerging countries.

EGH is developing an integrated green hydrogen and ammonia project in the North African country. In July, it signed a 20-year ammonia offtake agreement with Abu Dhabi-listed fertiliser producer Fertiglobe.

Fertiglobe will supply the renewable ammonia to Germany’s Hydrogen Intermediary Network Company (Hint.co) after the two companies signed an offtake agreement in August.

The signing of the offtake agreement with Hint.co followed Fertiglobe’s successful bid in the first tender by H2Global Foundation to supply green hydrogen-derived ammonia from Egypt to the EU.

Fertiglobe will receive €391m ($431m) for its proposal, in addition to securing a green ammonia offtake deal with Hint.Co, an H2Global affiliate.

Fertiglobe committed to delivering an initial up to 19,500 tonnes of renewable ammonia to Hint.Co, with the first shipments scheduled for 2027, “contingent on production and supply conditions”.

Fertiglobe is the sole winner of the first trio of tenders in the first auction round, which was funded entirely by the German government.

Investors and lenders 

The Egypt Green Hydrogen project was first announced in 2021. Scatec, Fertiglobe and the local Orascom Construction are developing the project in partnership with The Sovereign Fund of Egypt and the Egyptian Electricity Transmission Company.

At the time, Scatec and its partners agreed to develop, build, own and operate a 100MW electrolyser facility to produce renewable hydrogen to be used as feedstock for the production of renewable ammonia at Fertiglobe’s existing ammonia plant in Ain Sokhna, Egypt.

Scatec said the project will be powered by about 270MW of solar and wind power capacity and deliver approximately 13,000 tonnes of renewable hydrogen and up to 74,000 tonnes of renewable ammonia annually.

It said the next important milestones for the project are to select the electrolyser supplier and complete the project financing process.

The European Bank for Reconstruction & Development, European Investment Bank, Germany’s development finance institution and KfW subsidiary DEG, British International Investment and US International Development Finance Corporation (DFC) are providing competitive financing to support the project.

The partners expect to reach financial close in the first half of 2025.

Scatec is the lead developer and majority sponsor of Egypt Green Hydrogen, with a 52% ownership share. It will also collaborate with Orascom Construction to provide engineering, procurement and construction services.

Scatec will also provide operation and maintenance and asset management services for the project alongside key technology providers and project partners, the company said.

https://image.digitalinsightresearch.in/uploads/NewsArticle/12692914/main.gif
Jennifer Aguinaldo

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • Chinese contractor appointed for 500MW Oman solar plant

    22 July 2026

    China's Shanxi Installation Group has secured an estimated $222m engineering, procurement and construction (EPC) contract for the 500MW Al-Kamil 1 solar independent power project (IPP) in Oman.

    In a filing on the Hong Kong stock exchange, the company said the deal marks its first major project in the Middle East.

    The contract covers the EPC, grid connection, testing and commissioning of the utility-scale solar photovoltaic (PV) plant, as well as 2.5 years of operations and maintenance. 

    A consortium comprising France's EDF Power Solutions, Oman National Engineering & Investment Company and OQ Alternative Energy signed the power purchase agreement for the project with Nama Power & Water Procurement Company (Nama PWP) in June.

    Nama PWP is the sole procurer of new electricity generation capacity in Oman.

    The Al-Kamil 1 solar IPP is EDF Power Solutions' third renewable energy project in Oman, following the 500MW Manah 1 solar PV IPP and the 120MW JBB wind IPP.

    As MEED has previously reported, the Al-Kamil 1 project is part of Nama PWP's renewable energy development pipeline, which also includes the 400MW Sinaw and 280MW Marsa solar IPPs.

    Nama PWP is currently tendering supervisory services for the Marsa IPP, with a bid submission deadline of 26 July.

    The pipeline also comprises the 800MW Mahout and 300MW Duqm 2 wind IPPs, both targeted for commissioning between 2027 and 2029.

    READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Stress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.

    Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17725741/main.jpg
    Mark Dowdall
  • Fluor wins feed contract for key Bahrain aromatics facility

    22 July 2026

    Bahrain’s Gulf Petrochemical Industries Company (GPIC) has awarded US-based consultant Fluor a contract for front-end engineering and design (feed) on an aromatics facility in the country.

    The project will be an expansion of GPIC’s existing petrochemicals facility in Bahrain’s downstream complex in Sitra, which produces ammonia, urea and methanol.

    The new aromatics facility will utilise “commercially-proven process technologies” to produce approximately 1.2 million metric tonnes a year (t/y) of paraxylene and 500,000 metric t/y of benzene, Texas-headquartered Fluor said.

    Paraxylene and benzene are critical building blocks for plastics, polyester fibers and packaging materials, supporting global demand for high‑performance consumer and industrial products.

    Founded in 1979, GPIC is a joint venture of Bahraini state energy enterprise Bapco Energies, known at the time as Nogaholding; chemicals giant Saudi Basic Industries Corporation (Sabic); and Petrochemical Industries Company – a subsidiary of state energy conglomerate Kuwait Petroleum Corporation. The three partners hold equal stakes of 33.3% in GPIC.

    GPIC utilises locally available natural gas as feedstock to manufacture high-quality chemicals and fertilisers for domestic consumption and export, including 1,200 metric tonnes a day (t/d) of ammonia, 1,200 metric t/d of methanol and 1,700 metric t/d of granular urea.

    ALSO READ: Bahrain taps consultants for studying use of nuclear power

    READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Stress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.

    Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17725737/main1255.jpg
    Indrajit Sen
  • Firms submit bids for second Hassyan SWRO pipeline contract

    22 July 2026

    Dubai Electricity & Water Authority (Dewa) has received bids from three contractors for a second pipeline contract relating to the Hassyan seawater reverse osmosis (SWRO) network expansion.

    Project two requires contractors to supply, install, test and commission glass-reinforced epoxy (GRE) water transmission pipelines and associated works for the plant's phase two network.

    Local firm Tristar Engineering & Construction submitted the lowest offer of AED792.59m ($215.8m), according to tender results published by the state utility.

    Green Oasis General Contracting (UAE) submitted a bid of AED800.02m ($217.8m) and Wade Adams Contracting (UAE) made the other compliant offer of AED989.65m ($269.5m).

    In January, Dewa announced that construction of the 180-million-imperial-gallon-a-day phase one of the Hassyan SWRO independent water project was 90% complete.

    Earlier in July, eight contractors submitted bids for project one of the Hassyan pipeline network expansion.

    Dewa also has a third contract out for tender for GRE water transmission pipeline work related to the Hassyan SWRO phase two network.

    Project three was tendered on 26 January and has a bid submission deadline of 29 July.

    READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Stress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.

    Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17723861/main.jpg
    Mark Dowdall
  • Riyadh seeks contractors for Expo Icon structure

    22 July 2026

     

    Expo 2030 Riyadh Company (ERC), which is tasked with delivering the Expo 2030 Riyadh venue, has asked contractors to express interest in the construction of the Icon, one of the key landmarks at the site.

    The structure will be located at the entrance of the Expo 2030 Riyadh site, within the Collaboration Precinct.

    ERC issued the expressions of interest notice on 20 July. The deadline for submissions of interest is 23 July.

    The structure will be connected to the metro station and will serve as a gateway to the event.

    It will be 66 metres tall and will comprise an observation platform, food and beverage outlets and other features.

    The total built-up area will be approximately 16,279 square metres and it will be able to accommodate more than 1,450 visitors an hour during the event.

    The contract duration is 29 months from the start of construction.

    ERC tendered the contract for the construction of the Saudi Arabia pavilion at the site in May.

    The pavilion is a major asset located within the venue's KSA District, on the eastern side of the Expo 2030 Riyadh masterplan, within the Loop of Nations district.

    Construction progress

    The tendering of the pavilion structure followed swift progress on the site’s infrastructure development works.

    In April, ERC awarded two contracts for the next phase of infrastructure works at the site to local firm Al-Yamama Company.

    The scope covered the construction of road networks and infrastructure for water, sewage, electricity, telecommunications and electric vehicle charging.

    These awards followed ERC’s January award of an estimated SR1bn ($267m) contract for initial infrastructure works at the site to local firm Nesma & Partners. That scope covered about 50 kilometres of integrated infrastructure networks, including internal roads and essential utilities such as water, sewage, electrical and communications systems, and electric vehicle charging stations.

    The overall infrastructure works – covering the construction of main utilities and civil works at Expo 2030 Riyadh – are split into three packages:

    • Lot 1 covers the main utilities corridor;
    • Lot 2 includes the northern cluster of the nature corridor;
    • Lot 3 comprises the southern cluster of the nature corridor. 

    The masterplan encompasses an area of 6 square kilometres, making it one of the largest sites ever designated for a World Expo event. Situated to the north of the Saudi capital, the site will be located near the future King Salman International airport and will provide direct access to landmarks within Riyadh.

    The Public Investment Fund, Saudi Arabia’s sovereign wealth vehicle, launched ERC – a wholly owned subsidiary – in June 2025 to build and operate facilities for Expo 2030.

    READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Stress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.

    Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17723204/main.jpg
    Yasir Iqbal
  • EtihadWE tenders $150m Ajman substation project

    21 July 2026

    The UAE’s Etihad Water & Electricity (EtihadWE) has tendered a contract to build three new substations in Ajman.

    Estimated to cost $150m, the project involves the construction of three new 132/11kV substations in the Bahya, Rumaila and Liwara districts. It also includes associated 132kV underground cabling works to connect the substations to the existing transmission network.

    The bid submission deadline is 10 August.

    According to tender documents, the project will add distribution capacity to support load growth and improve the security of electricity supply in the emirate.

    The scope of work includes site preparation, construction of three substation buildings and foundations, installation of 132kV GIS/AIS switchgear, 132/11kV power transformers and 11kV switchgear, as well as protection, control, Scada and telecommunications systems.

    Etihad WE is responsible for electricity and water services in Ajman, Umm Al-Quwain, Ras Al-Khaimah, Fujairah and parts of Sharjah. The utility has been investing in new substations and transmission infrastructure as electricity demand continues to increase across the Northern Emirates.

    This includes a 132/33/11kV substation project on Al-Marjan Island in Ras Al-Khaimah. Construction work is ongoing on the project, with Maetal Dubai serving as the main contractor.

    EtihadWE is also finalising a new masterplan that will cover network capacity requirements and expansion priorities for the next 10 to 15 years.

    In June, Abdulla Al-Khemeiri, chief operations officer, told MEED: “We are currently reviewing it, and we need to obtain shareholder approval first. Once it is approved, it will be released, hopefully by the end of the year.” 

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17710661/main.jpg
    Mark Dowdall