India’s Ocior Energy company has signed contracts to invest four billion dollars into the production of green hydrogen in the Suez Canal Economic Zone in Egypt, provided that the final contracts for the project are concluded within several months.
The economic zone of the Suez Canal in Egypt includes four industrial zones: East Port Said, West Qantara, East Ismailia, and Sokhna, in addition to six ports: West Port Said, East Port Said, Arish, Adabiya, Sokhna, and Al Tur.
During the UNCOP27 climate change summit held in November in Sharm el-Sheikh, Egypt announced several projects related to green hydrogen and other climate-related financing.
The Egyptian government expects that total foreign direct investment in green hydrogen projects to reach about $81.6 billion by 2035.
The government aims to expand these projects, as it has developed a special national strategy for on green hydrogen, and aims to integrate it into the 2035 energy strategy, under its overall plan to shift to carbon neutrality and reduce emissions from the energy sector.
Egypt has the ability to produce green hydrogen at a cost that is the lowest in the world.
The cost of production is set to drop to US$1.7 per kilogram in 2050 compared to $2.7 in 2025. The strategy is also expected to contribute to reducing Egypt’s imports of petroleum products, and reducing carbon emissions.
