Australian renewables developer 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 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 7600MW of renewable energy, which has the potential to produce 330 kilo tonnes 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 chief executive Mark Hutchinson said the project would bring jobs and economic growth to Egypt.
He said: “There is no more important time nor platform to make this announcement than at COP27, where FFI has had a significant presence.”
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), 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.”