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Fortescue Future Industries (FFI) and Egypt have signed a major Framework Agreement at COP27, agreeing to work together to study and develop green hydrogen and renewable energy projects in Egypt.
This is another milestone in the strong relationship between Fortescue and the Egyptian Government and builds upon a Memorandum of Understanding signed earlier this year and a recent meeting between President Abdel Fattah El-Sisi and FFI founder and executive chairman Dr. Andrew Forrest.
The binding agreement provides FFI access and exclusive land rights to study renewable energy resources in Egypt, which would include solar and wind.
The projects being considered could support a potential capacity of 7,600MW of renewable energy, which has the potential to produce 330 kilotonnes per annum of green hydrogen.
Prime Minister Mostafa Madbouly said, “a big company like FFI showing interest in the Egyptian market underscores the attractiveness of the investment climate in Egypt, as well as its capabilities in the renewable energy field.”
“Energy projects are vital, as they align with the government’s strategy to transform Egypt into a global renewable energy hub.” FFI CEO Mark Hutchinson said the project would bring jobs and economic growth to Egypt.
“There is no more important time nor platform to make this announcement than at COP27, where FFI has had a significant presence.”
FFI President Middle East North Africa, Moataz Kandil said, “Egypt is showing the world here at COP27 it is on the way to becoming a global powerhouse in the green energy value chain.”
“This Framework Agreement signed today lays the groundwork for Egypt to begin harnessing its excellent natural resources and generate the renewable energy required to produce large-scale green hydrogen and green ammonia.”
The Framework Agreement was signed by FFI and the Egyptian Government, represented by New and Renewable Energy Authority (NREA), The General Authority for Suez Canal Economic Zone (SCZONE), the Egyptian Electricity Transmission Company (EETC), and The Sovereign Fund of Egypt for Investment and Development (TSFE).
FFI Egypt Country Director, Mohamed Shoukry said, “Green Hydrogen and renewable energy has the potential to change the world, help reduce fossil fuel use in heavy industry and create an economic benefit to local regions.”
“This framework agreement is another big leap towards reducing carbon emissions and delivering social, environmental, and economic benefits to the local people in Egypt.”