Signed by bp, Egypt’s New and Renewable Energy Authority (NREA), the Egyptian Electricity Transmission Company (EETC), the General Authority for Suez Canal Economic (SCZONE), and The Sovereign Fund of Egypt for Investment and Development (TSFE), the Memorandum of Understanding (MoU) will see bp carry out several studies for the facility.
The oil and gas major has said it will evaluate the technical and commercial feasibility of developing a multi-phase, large-scale green hydrogen export hub in Egypt, considering several locations across the country, targeting best-in-class resources.
Having operated in Egypt for over 60 years, with investments totalling over $35bn, Anja-Isabel Dotzenrath, Executive Vice-President of Gas and Low-Carbon Energy at bp, said, “bp is proud of our long history in Egypt and significant role in the country’s energy industry. Egypt has world-class renewable energy resources, and we look forward to working with the Government to explore how we can support its ambitious low carbon strategy.”
The North African nation’s potential for green hydrogen came into focus during COP27 in Sharm el Sheikh, with numerous agreements and projects announced, that look set to put the country on course to become a hydrogen hot spot.
Read more: Has COP27 opened the door even further for hydrogen?
“Transitioning into a low-carbon energy system is no longer an option but a necessity, as reaffirmed by the whole world during COP27,” commented, Ayman Soliman, CEO of TSFE. “We are proud of this MoU with bp, demonstrating our role as a catalyst for that transition, providing investors with a wealth of renewable energy sources, an optimal location for exporting and an investor-friendly ecosystem.”
In May (2022), Rystad Energy research predicted that Egypt’s current green hydrogen pipeline of projects will amount to 11.62GW of green hydrogen production capacity once they come online before 2035.
Read more: Rystad Energy anticipate green hydrogen boom in Egypt
Nader Zako, Regional President, Middle East and North Africa at bp, added, “Expanding the remit of our business in Egypt is testament to bp’s long-term commitment to Egypt. This MoU builds upon Egypt’s endeavours to be a regional energy hub and we are glad to be able to be a strategic partner to support the country’s green energy transition plans.”
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