The signing ceremony. Cabinet.
According to a statement by the SCZone on Wednesday, the investments in the first phase of the project will amount to $3 billion.
The SCZone consortium includes the Sovereign Fund of Egypt (TSFE), the New and Renewable Energy Authority (NREA), and the Egyptian Electricity Transmission Company (EETC).
Chairman of SCZone Walid Gamal El-Din said the zone has taken many steps to transition to green economy, including building green hydrogen projects within the green corridor sites, adding that the output of these projects will be exported to the European markets.
For his part, CEO of C2X Brian Davis described the agreement as “an important milestone in the global endeavour to transition to green fuels.”
Davis noted that Egypt has many natural advantages that support “a world-class green methanol project,” including having access to high-quality renewables and being the home to the Suez Canal, the world’s “most important global trade waterway.”
In recent months, Egypt has inked several deals with international alliances to produce green hydrogen and its derivatives in the SCZone.
The most recent deal was signed on 9 August with the Indian renewable energy company Ocior to invest $4 billion in green hydrogen projects in the SCZone.
In August, the Egyptian Cabinet approved the creation of the National Council for Green Hydrogen to stimulate green investment.
Egypt aims to reduce carbon emissions and promote using renewable and alternative energy sources, including green hydrogen, as part of its National Climate Strategy 2050.
As part of this strategy, Egypt aims to produce green hydrogen at the lowest cost globally by 2050 – at $1.7 per kg – and acquire eight percent of the global hydrogen market, according to previous statements by government officials.
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