A Memorandum of Understanding – MoU has been signed by Abu Qir Fertilizers & Chemicals Company, AlexFert, Orascom Construction SAE, UEG Green Hydrogen Development Holding Limited – UEG, Valmore Holding in order to explore the development of a Mediterranean Green Hydrogen Hub Project located in Alexandria. The signing of the agreement took place on the sidelines of EGYPES 2026 under the backing of Egypt’s Ministry of Petroleum and Mineral Resources.
The initiative seeks to enhance Egypt’s role as a regional and global clean energy hub, in line with the country’s Vision 2030 as well as its national energy transition strategy.
Under the MoU, UEG and Orascom Construction will undertake feasibility studies for 500 MW green hydrogen capacity, both wind and solar and green hydrogen production infrastructure. In parallel, Abu Qir Fertilizers and AlexFert will examine the integration of green hydrogen in the ammonia production process to produce some 480 tonnes per day of renewable fuel of non-biological origin – RFNBO ammonia. The partners will also evaluate the utilization of existing infrastructure and local resources so as to facilitate project development.
The agreement pertaining to 500 MW green hydrogen capacity provides a framework for technical, commercial, and regulatory studies, with a view to progressing towards definitive agreements subject to outcomes of feasibility.
H.E. Eng. Hany Dahy, the chairman of Abu Qir Fertilizers & Chemicals Company, on the development said that this partnership reflects the company’s commitment to the advancement when it comes to low-carbon ammonia production through incorporating green hydrogen solutions.
UEG representatives highlighted plans to develop a scalable green hydrogen platform in Egypt to support domestic industries as well as export markets, while Orascom Construction went on to note the ongoing technical assessments to facilitate competitive and reliable large-scale green hydrogen production.
The project gives an opportunity to integrate green hydrogen into ammonia production processes, improving sustainability and operational efficiency, AlexFert stated. Valmore Holding added that the initiative is in line with its long-term strategy in order to promote sustainable growth in the chemicals and energy sectors and to establish Alexandria as a green fuel hub.
AlexFert, established in 2003 and a subsidiary of Valmore Holding, operates a production facility in Alexandria with a total area of 110,000 square meters and is one of the leading producers of nitrogen-based fertilizers, including ammonia and urea as well as ammonium sulphate. Valmore Holding is a diversified investment group having interests in chemicals, building materials, utilities, oil and gas, as well as financial services and happens to be dual-listed on the Egyptian Stock Exchange and also Boursa Kuwait.