Scatec hydrogen project overcomes key hurdles
12 July 2024
Norwegian renewable energy developer and investor Scatec has signed a 20-year offtake agreement with Abu Dhabi's Fertiglobe for the green hydrogen-derived ammonia produced at the fertliser company's existing plant in Sokhna, Egypt.
The signing of the offtake agreement between the two partners, which are co-developing the 100MW Egypt Green Hydrogen project, follows Fertiglobe winning a tender and signing an offtake agreement with Germany's Hydrogen Intermediary Network Company (Hintco).
Hintco is an affiliate of the Germany-based non-profit H2 Global, which is facilitating auctions for green hydrogen imports to Europe.
The intercontinental deals provide the proverbial light at the end of the tunnel for the project, which was first announced in 2021.
The project is now expected to reach financial close in the first half of 2025, with key development banks in Europe and the US providing finance.
It is a major victory for all companies involved, especially for Scatec, which owns a 52% stake in Egypt Green Hydrogen, along with Fertiglobe and Egypt's Orascom Construction.
MEED reported in May last year that Scatec withdrew from two planned solar projects in Iraq and a planned green hydrogen project in Oman to focus its resources in Egypt.
In addition to the green ammonia project with Fertiglobe, Scatec along with partners has been exploring the development of green methanol plants, wind power projects and a long-distance interconnector in Egypt that will require investments of at least $13bn in the coming years.
The signing of the offtake deals is also a significant milestone for Egypt, which has courted many investors to develop similar projects in the country despite ongoing currency concerns.
The green ammonia plant in Sokhna is relatively small compared with the projects being planned in Egypt and elsewhere in the region. It will feature a 100MW electrolyser facility powered by an estimated 270MW of solar and wind capacity to produce approximately 13,000 tonnes of renewable hydrogen and up to 74,000 tonnes of renewable ammonia annually, which is just a fraction of the capacity of the $8.4bn Neom green hydrogen project in Saudi Arabia.
However, the offtake and project financing negotiations are not less complex compared to those involved in much larger projects due to the newness of the supply chain, the risks that need to be mitigated, and the uncertainty of demand.
Exclusive from Meed
-
Six groups qualify for Saudi Arabia’s Qassim airport PPP7 September 2026
-
Dubai sets October deadline for metro Gold Line7 September 2026
-
Oman power firms move closer to merger
7 September 2026
-
Iraq boosts oil exports after talks with Iran7 September 2026
-
Customs clearance delays Iraqi oil field development7 September 2026
All of this is only 1% of what MEED.com has to offer
Subscribe now and unlock all the 153,671 articles on MEED.com
- All the latest news, data, and market intelligence across MENA at your fingerprints
- First-hand updates and inside information on projects, clients and competitors that matter to you
- 20 years' archive of information, data, and news for you to access at your convenience
- Strategize to succeed and minimise risks with timely analysis of current and future market trends
Related Articles
-
Six groups qualify for Saudi Arabia’s Qassim airport PPP7 September 2026
Saudi Arabia’s Civil Aviation Holding Company (Matarat), through the National Centre for Privatisation & PPP (NCP), has qualified five groups and one standalone company to bid for a contract to develop Prince Naif Bin Abdulaziz International airport in Qassim, Saudi Arabia.
These include:
- YDA Insaat / Safari Group / Lamar Holding / Egis (Turkiye/local/Bahrain/France)
- Ports Projects Management & Development Company / Algihaz Holding (local/local)
- Mada International Holding / TAV Airports Holding (local/Turkiye)
- Namaya International Investment Company / Oman Airports Management Company / AlBawani Capital / Tanama (local/Oman/local/UAE)
- Vision Invest / Asyad Holding / DAA International (local/local/Ireland)
- GMR Airports (India)
The prequalification process follows 89 firms expressing interest in the contract, as MEED reported in March.
The project scope includes the redevelopment of the passenger terminal as well as other associated facilities such as airside infrastructure, including runway, taxiways and aprons.
The project will be developed on a design-finance-construction-operations-maintenance-transfer basis.
The clients issued an expression of interest notice for the project on 9 February, and companies were given until 23 February to submit responses.
Tendering is also ongoing for the new Taif International airport project in Mecca Province.
The new Taif International airport will be located 21 kilometres southeast of the existing Taif airport and will have a capacity of 2.5 million passengers by 2030.
In addition to a new airport terminal, the proposed design features a runway with a full-length parallel taxiway connecting to a single commercial apron.
The scope includes facility buildings, utility networks, car parks and access roads, as well as provisions for additional expansions to meet future subsystem requirements.
The new airport is expected to meet the projected increase in demand by 2055 and contribute to the economic development of the city of Taif and its surrounding areas, in line with the kingdom’s National Aviation Strategy.
It is also expected to meet the needs of Umrah pilgrims, as an alternative within the region’s multi-airport system, which includes King Abdulaziz airport in Jeddah, Prince Mohammed Bin Abdulaziz airport in Medina and Prince Abdulmohsen Bin Abdulaziz airport in Yanbu.
Previous tenders
The Taif, Hail and Qassim airport schemes were previously tendered and awarded as public-private partnership (PPP) projects using the build-transfer-operate (BTO) model.
Saudi Arabia’s General Authority of Civil Aviation (Gaca) awarded the contracts to develop four airport PPP projects to two separate consortiums in 2017.
A team of Turkiye’s TAV Airports and the local Al-Rajhi Holding Group won the 30-year concession agreement to build, transfer and operate airport passenger terminals in Yanbu, Qassim and Hail.
A second team, comprising Lebanon’s Consolidated Contractors Company, Germany’s Munich Airport International and local firm Asyad Group, won the BTO contract to develop Taif International airport.
However, these projects stalled following the restructuring of the kingdom’s aviation sector.
Saudi Arabia has already privatised airports including the $1.2bn Prince Mohammed Bin Abdulaziz International airport in Medina, which was developed as a PPP and opened in 2015.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19433451/main.jpg -
Dubai sets October deadline for metro Gold Line7 September 2026

Dubai’s Roads & Transport Authority (RTA) has set a deadline of 9 October for contractors to submit their prequalification statements for a contract to build the new Gold Line as part of the Dubai Metro network’s expansion.
The previous deadline was 7 September.
The RTA issued the request for qualification notice for the project in June, with an initial submission deadline of 17 August, as MEED exclusively reported.
The prequalification notice followed the RTA’s invitation to contractors to express interest in building the new Gold Line in May.
Dubai officially announced the launch of the new Gold Line in April.
In a post on social media site X, Sheikh Mohammed Bin Rashid Al-Maktoum, UAE Vice President and Prime Minister and Ruler of Dubai, said the project will cost about AED34bn ($9.2bn).
The Gold Line will increase Dubai Metro network’s total length by 35%.
The project is scheduled for completion in September 2032.
The Gold Line will be a fully underground network covering more than 42 kilometres, with 18 stations.
It will pass through 15 areas in Dubai, benefiting 1.5 million residents.
The project is expected to provide connectivity to over 55 under-construction real estate development projects.
The Gold Line will start at Al-Ghubaiba in Bur Dubai and end at Jumeirah Golf Estates.
It will connect to Dubai Metro’s existing Red and Green lines and integrate with the Etihad Rail passenger line.
The contractor will be responsible for the design and build of all civil works, electromechanical equipment, rolling stock and rail systems.
The selected contractor will also be required to assist in the systems maintenance and operations during an initial three-year period.
In October last year, MEED exclusively reported that the RTA had selected US-based engineering firm Aecom to provide consultancy services for the Dubai Metro Gold Line project.
Stage one covers concept design, stage two covers preliminary design, stage three covers the preparation of tender documents, stage four encompasses construction supervision, and stage five covers the defects and liability period.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19433246/main.png -
Iraq boosts oil exports after talks with Iran7 September 2026
Iraq has boosted its oil export capacity to more than 3 million barrels a day (b/d) after holding talks with Iran, according to Oil Minister Basim Mohammed Khudair.
In a video statement released on 5 September, he said the country has been able to ship more than 3 million b/d since the start of this month.
He also said: “The government plans to raise export capacity to 5 million b/d after completing the strategic pipelines extending towards Fishakhpur and Banias, as well as the export outlets in the Strait of Hormuz.”
Iraq’s oil exports rose to around 2.34 million b/d in August, according to officials.
The increase came after Iran granted special permission for a number of Iraqi oil tankers to pass through the Strait of Hormuz in August, following repeated requests from Baghdad.
On 22 August, Iraqi President Nizar Amidi said Iran had facilitated the passage of “some ships carrying Iraqi oil in the strait” in recent days, and Baghdad had discussed exporting Iraqi oil through Hormuz with Iranian officials.
The details of Iraq’s agreement have not been released by officials, but Amidi said that his government “will not accept Iraqi territory being used to launch attacks against any other country”.
The Iraqi president said attacks launched from inside Iraq against countries in the region “have no justification”.
Prior to the deal being announced, Iraqi exports had been dramatically reduced amid fallout from the regional war that started when the US and Israel attacked Iran on 28 February 2026.
The regional war has led to significant disruption to shipping through the Strait of Hormuz, which is a key export route for Iraqi oil.
Iraq’s crude exports fell from more than 3.3 million b/d before the war to a low of about 330,000 b/d in April, while exports from its southern terminals were temporarily halted altogether in March.
Tensions still remain high in the region, and some shipping is still being disrupted by the ongoing conflict.
On 2 September, Saudi Arabia condemned an Iranian attack on an oil tanker owned by its national shipping company that resulted in the deaths of two citizens of the Philippines.
In a statement, Saudi Arabia’s Foreign Ministry said Iran targeted the Sidr tanker, owned by national carrier Bahri, while it was transiting the Strait of Hormuz two days earlier.
It said: “The kingdom stressed the necessity of halting escalations and respecting international maritime safety and the security of global energy supplies.”
Kuwait and Qatar’s foreign ministries said the attack violated international law and freedom of maritime navigation.
Qatar called the attack a “flagrant violation of the rules of international law and freedom of maritime navigation”. Doha further rejected the use of the Strait of Hormuz as a “bargaining chip”.
Iran has repeatedly attacked and threatened tankers attempting to sail through the strategic waterway without authorisation, impeding energy exports from neighbouring oil-rich Gulf countries.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19424826/main.jpg -
Customs clearance delays Iraqi oil field development7 September 2026

Problems getting critical equipment through customs are delaying a key part of Iraq’s $27bn Gas Growth Integrated Project (GGIP), according to industry sources.
Phase one of the GGIP is expected to be worth about $10bn. France’s TotalEnergies holds a 45% stake in the project, while Iraq’s Basra Oil Company (BOC) and QatarEnergy hold 30% and 25% respectively.
The specific part of the project that is being delayed by customs issues is known as Ratawi phase 1.
It is focused on developing Iraq’s Ratawi oil and gas field as part of the wider GGIP.
Previously, this project was expected to come online before the end of June this year.
Speaking on 23 July 2026, TotalEnergies CEO Patrick Pouyanne said that Ratawi phase 1 was being delayed due to issues related to the conflict with Iran, but he still expected it to start up before the end of September 2026.
Although recent complications are expected to delay the project further, it is on track to come online in mid-to-late October at the earliest, according to industry sources.
One source said: “Right now, the main issue causing delays to the project isn’t the crisis in the Strait of Hormuz; it’s Iraqi customs clearance.
“TotalEnergies is having trouble getting critical equipment released.”
TotalEnergies did not respond to a request to comment on the progress of Ratawi phase 1.
In November last year, the French company said that phase 1 aimed to increase production to 120,000 barrels a day (b/d).
At the time, it also said that it was expected to come on stream “by early 2026”.
It also said that the launch of phase 2 of the project, which would be considered “full field development”, would enable the company to increase production to 210,000 b/d starting in 2028.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19424624/main.png -
Firms prepare bids for NWC sewage treatment package 144 September 2026

At least three contractors are preparing to make offers for package 14 of Saudi Arabia’s long-term operations and maintenance (LTOM) sewage treatment programme, according to sources.
Known as Eastern A Cluster (LTOM14), the package was tendered by the state-owned National Water Company (NWC) in April, with a bid submission deadline of 30 September.
The contract covers the upgrade of six existing sewage treatment plants (STPs), with a capacity expansion of 30,000 cubic metres a day (cm/d) at the Al-Jarodia STP.
This will increase total treatment capacity from about 263,000 cm/d to approximately 293,000 cm/d, with an estimated cost of $180m.
According to sources, the firms preparing to submit bids include:
- Alkhorayef Water & Power Technologies (Saudi Arabia)
- Civil Works Company (Saudi Arabia)
- Miahona (Saudi Arabia)
The latest phase follows the formal signing of a $347m contract between NWC and a Saudi-Chinese consortium for Northern Cluster Sewage Treatment Plants Package 10 (LTOM10) on 2 September.
The same consortium led by United Water (China) is not planning to bid for LTOM14 and is expected to formally sign a contract for LTOM11 in the coming months, a source said.
In April, MEED exclusively reported that the group had won the contract for package 11, which will have a combined capacity of about 440,000 cm/d.
It is also understood that Beijing Enterprises, a bidder for North Western B Cluster (LTOM12), is not preparing to bid for package 14.
In the meantime, the contract for LTOM12 is moving towards award, with bids currently under evaluation.
The contract covers the construction and upgrade of seven STPs with a combined capacity of about 162,000 cm/d. As previously reported, NWC opened financial bids for the project in April.
US/India-based Synergy Consulting is Financial Advisor to NWC for the full LTOM programme.
Future phases
In total, the LTOM programme comprises 19 packages split into two phases. In May 2024, NWC announced it had awarded $2.5bn-worth of contracts in the first phase. Phase two of the programme includes 10 packages covering 117 treatment plants.
In April, MEED exclusively reported that NWC had held several discussions regarding changes in scope details and potential expansions to upcoming projects. This involved “grouping some upcoming projects”.
The request for proposals for LTOM13 was subsequently put on hold and it is now understood that this tender has likely been merged with other packages in the programme.
According to a source, Eastern B Cluster (LTOM15) has also been cancelled and has likely been merged. LTOM15 had comprised two STPs with a total capacity of 152,000 cm/d.
The next contract to be tendered will be Central Cluster (LTOM16), potentially in November, a source added.
Under the original scope, LTOM16 covers the construction of 14 STPs with a total capacity of 153,000 cm/d.
https://image.digitalinsightresearch.in/uploads/NewsArticle/19358188/main.jpg