The agreement offers Actis an entry point into what has been viewed as a region with enormous potential to become one of the largest hydrogen markets, thanks to its renewable energy potential and proximity to European and Asian offtakers.

A Siemens Energy and Roland Berger report, released in July (2022) highlighted the Middle East and Africa (MEA) region’s potential of becoming an export of green hydrogen, after a Rystad Energy report anticipated that Egypt’s current hydrogen project pipeline would amount to production of 1.75 million tonnes of green hydrogen once they come online.

Read more: Report highlights MEA region’s potential as green hydrogen exporter

Read more: Rystad Energy anticipate green hydrogen boom in Egypt

Dr. Shreif ElKholy, Partner and Head of Middle East and Africa for Infrastructure at Actis, said, “The Egyptian Government has ambitious energy transition plans, in addition to hosting COP27 this year, and active steps are being taken to make Egypt a major hub for green hydrogen.

“We look forward to deepening our partnership with the Egyptian Government and contributing to their 2030 renewable energy strategy through this project and others to come.”

This month (August 2022) Australian-based Fortescue Future Industries (FFI) revealed it had signed an MoU with multiple Egyptian companies and authorities to study the potential of developing green hydrogen production capacities in the country.

Read more: Agreement signed to study green hydrogen production potential in Egypt

Lisa Pinsley, Partner and Head of Middle East and Africa for Energy at Actis, added, “We expect green hydrogen to be a key enabler of the global energy transition. For industry and certain hard-to-abate sectors it offers an excellent and sustainable solution for decarbonisation.

“I’m excited that Actis is signing an agreement to explore green hydrogen development opportunities with the Egyptian Government as it aligns closely with Actis’ long-term strategy to mobilise capital behind the drive to Net Zero.”