Egyptian Suez Canal Economic Zone, SCATEC ASA ink USD1.1B valued MoU
Date
12/4/2023 3:28:22 AM
(MENAFN) In a noteworthy development, the Egyptian Suez Canal Economic Zone and SCATEC ASA have inked a significant memorandum of understanding (MoU) valued at USD1.1 billion. The primary objective of this agreement is to facilitate the provision of green fuel to ships, aligning with sustainability goals. The signing ceremony took place on the sidelines of the United Nations Climate Change Conference (COP28) in Dubai, underscoring the global commitment to environmentally friendly initiatives.
According to a statement released by the Egyptian Suez Canal Authority, the MoU outlines plans for the annual production of 100,000 tons of green methanol by the year 2027. This strategic move reflects Egypt's dedication to fostering a green and sustainable maritime industry by integrating cleaner energy sources.
The signing ceremony is part of a broader trend, as last October witnessed the Egyptian Cabinet overseeing the signing of multiple MoUs between the Suez Canal Economic Zone and Chinese companies. The overarching aim of these agreements is to attract substantial investments to Egypt, amounting to USD14.75 billion. Among these agreements, a framework deal was signed by Walid Gamal El-Din, Chairman of the Suez Canal Economic Zone, and Liu Zixiang, Chairman of China Energy Group.
This particular agreement focuses on establishing a project for the production of 1.2 million tons of green ammonia and 210,000 tons of green hydrogen annually. The associated investments for this venture are estimated at USD6.75 billion, contributing to the industrial development of the Sokhna region in Egypt across a sprawling area of 500,000 square meters. These collaborative efforts underscore a commitment to advancing sustainable practices and positioning Egypt as a key player in the global green energy landscape.
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