The Mediterranean Green Hydrogen Hub

A memorandum of understanding has been concluded for a project in Alexandria, Egypt, aimed at producing 480 tons of renewable ammonia per day using 500 MW of combined wind and solar power. Known as the “Mediterranean Green Hydrogen Hub,” the initiative will substitute natural gas feedstock with renewable hydrogen while continuing to use existing ammonia production facilities, ensuring efficiency is maintained.

The project brings together several key partners: China-based United Energy Group (UEG), leading Egyptian fertilizer producers Abu Qir Fertilizers and Alexandria Fertilizers Company (Alexfert), and Orascom Construction. It is backed by Egypt’s Ministry of Petroleum and Mineral Resources (MoPMR), which is working on incentive schemes to boost the country’s position in the global green hydrogen market. The government aims to secure an 8% market share, with an annual production target of 10 million tons, as outlined by Minister Karim Badawi.

Orascom Construction is also participating in another initiative, Egypt Green, located in Ain Sokhna. A final investment decision for this project is expected in the second quarter of 2026. Egypt Green will feature a 100 MW electrolyser supplying renewable hydrogen to an existing ammonia facility, enabling the production of approximately 74,000 tons of renewable ammonia annually. Of this output, at least 40,000 tons per year have been earmarked for export to the Port of Rotterdam between 2027 and 2033, supported by subsidies under H2Global’s first pilot auction.

In a separate development, UEG signed an MoU with Air Liquide Egypt in March 2025. This agreement focuses on leveraging Air Liquide’s nitrogen supply, infrastructure, technical expertise, and local presence to develop low-carbon ammonia production facilities in Egypt, although specific details regarding capacity and location have not yet been disclosed.