Poland’s Henfra to invest $10.6bn in green ammonia project in Egypt

Daily News Egypt
3 Min Read

Henfra, a prominent Polish company, is set to invest $1.6bn in the establishment of a green ammonia production facility in Egypt, with total investments expected to reach $10.6bn as the facility’s capacity grows to one million tonnes annually.

In a recent meeting in Cairo, Henfra’s founder and CEO, Tomoho Omida, and Egypt-based partner Hussein El-Ghazawy, discussed the project with Hossam Heiba, CEO of the General Authority for Investment and Free Zones (GAFI), and Yehia El-Wathik Bellah, head of the Egyptian Commercial Service.

Omida shared that Henfra plans to build five green ammonia plants to supply Eastern and Central Europe, with Egypt chosen as the location for one of these facilities. The plant’s initial phase, set to produce 100,000 tonnes per year, is expected to be operational by 2030. Plans are in place to scale production up to one million tonnes annually.

The project will take advantage of Egypt’s abundant solar and wind energy resources, ensuring that the ammonia production process is powered entirely by clean energy. Henfra plans to build renewable energy plants with daily production capacities sufficient to meet the facility’s needs, with any surplus electricity fed into Egypt’s national grid, further supporting the country’s renewable energy goals.

In addition to producing green ammonia, Henfra will transfer technical expertise to Egypt in areas such as green hydrogen production, renewable energy storage systems, water desalination, and advanced electrolysis technologies.

The plant will generate green hydrogen through water electrolysis, which will then be combined with nitrogen at high temperatures to create green ammonia. Each step of the process will be powered by renewable energy, aligning with global sustainability targets.

El-Ghazawy confirmed that the entire output of the plant will be dedicated to export to the European Union, which has already secured long-term agreements with Henfra. The EU aims to import 6 million tonnes of green hydrogen and 4 million tonnes of green ammonia by 2030, positioning Egypt as a key player in the EU’s sustainable energy strategy.

Heiba highlighted Egypt’s commitment to the green hydrogen and ammonia sectors, pointing to recent legislative incentives and the creation of the National Green Hydrogen Council. The government has also issued “golden licenses” to expedite approvals for projects in these sectors.

He also noted Egypt’s ongoing collaboration with European partners, which includes agreements worth over €67 billion signed during the Egypt-Europe Investment Forum earlier this year. These agreements align with Egypt’s Vision 2030 sustainable development strategy, with a strong emphasis on renewable energy production and exports.

Heiba assured Henfra of full support throughout the project’s lifecycle, from licensing to operations, ensuring the successful execution of this transformative initiative.

 

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