We have more details on yesterday’s green hydrogen proposal: Abu Dhabi-headquartered green fuels developer Ocior Energy has signed preliminary agreements with the Egyptian government to build a USD 4 bn green hydrogen production plant in the Suez Canal Economic Zone (SCZone), head of Commercial Services at Egypt’s Trade and Industry Ministry Yehia El Wathiq Bellah told Enterprise Climate. The Indian company is expected to finalize the project agreement in coming months, Al Wathiq Bellah said.

The details: Ocior — which will pour USD 800 mn in annual investments for the project — has already signed a land allocation agreement with the government, and the green hydrogen facility is expected to be completed in five to six years, El Wathiq Bellah told us.

Powered by renewables, marked for export: The Egyptian cabinet released a statement yesterday saying the plant’s production capacity is estimated at 400k tons per year with production earmarked for export to Europe at an estimated value of USD 1 bn. The facility would source its power needs from 15 GW of solar energy, the statement added.

The plans have been brewing: The company signed an MoU with Egypt’s Electricity and Renewable Energy Ministry for the project in December, noting it is eyeing a production capacity of 100k tons of green hydrogen per year from its first phase by 2027 with an increase to 1 mn tons per annum when fully operational by 2030, according to a statement released at the time. Ocior chose to establish its green hydrogen plant in the Suez Canal due to its proximity to European markets, the company said.

About Ocior: The company has a target to deploy 4 GW of green hydrogen capacity by 2030, it notes. Ocior signed an MoU with the Government of Odisha in India last December to establish a green hydrogen plant that will produce 1 mn tons once fully operational in 2030, and is looking to establish green hydrogen facilities with similar production capacities in Abu Dhabi and India’s Gujarat.

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