• Project targets up to 1 million tons of output using solar and wind
• Initial investment estimated at $5 billion, with expansion potential
• Plan adds to Egypt’s broader push into green hydrogen and ammonia

On April 24, Hynfra announced that it had presented a green ammonia production project to Egypt’s Minister of Industry. The project, named Egypt Amun Green Ammonia, is under development and has received political backing, according to the company.

The site is located in Ras Banas, in the southeast of the country. Hynfra said the location was selected for its strong solar exposure and steady Red Sea winds, which will support renewable energy generation. The project plans to install 2,000 MW of renewable capacity across a 100 km² site.

The facility will combine solar and wind power to supply an off-grid production unit. Initial output is expected to reach 400,000 tons per year from 2031, with the possibility of expanding to 1 million tons.

Financing yet to be defined

The project is estimated to require $5 billion in its first phase, rising to $10 billion at full capacity. At this stage, no details have been provided on funding sources, potential buyers, or a precise implementation timeline.

According to the developers, discussions with authorities focused on investment assumptions and alignment with Egypt’s energy transition strategy.

This announcement comes as several similar projects are being studied in the country. In early April, Abu Qir Fertilizers, Alexfert, Orascom Construction, and UEG signed a memorandum of understanding to develop a green hydrogen hub in Alexandria. That project includes feasibility studies for a 500 MW facility expected to produce about 480 tons of green ammonia per day, though no investment or timeline details have been disclosed.

Egypt aims to produce 10 million tons of green hydrogen in the long term and capture 8% of the global market, according to government targets. At COP27, more than $83 billion in memorandums of understanding were announced for similar projects.

Abdoullah Diop