The Alexandria National Refining and Petrochemicals Company (ANRPC), an Egyptian chemicals firm, has signed a Memorandum of Understanding (MoU) with Norwegian renewables company Scatec to collaborate on a $450 million green methanol production project. This project is being undertaken in partnership with the Egyptian Bioethanol Company and was announced by Egypt’s Ministry of Petroleum and Mineral Resources.
The green methanol plant will be situated in the port of Damietta and is expected to have an initial annual production capacity of 40,000 tons, with the potential for expansion to 200,000 tons per year. The Minister of Petroleum and Mineral Resources, Tarek El-Molla, stated that this project is the first of its kind in Egypt and the Middle East, positioning Egypt as a global producer of green fuel for ships.
As part of the project, renewable energy stations will be constructed with capacities of 40 MW for solar power and 120 MW for wind power. Additionally, the joint development agreement includes the establishment of a 60 MW green hydrogen analyzer, a seawater desalination plant, and a green methanol production and storage facility.
Terje Pilskog, Chairman of Scatec, emphasized the company’s commitment to providing Egypt with sustainable and high-quality green fuel. The agreement is expected to support Egypt’s role as a hub for supplying green products to global shipping lines.
This green methanol production project aligns with Egypt’s National Climate Strategy 2050, which aims to reduce carbon emissions, promote the use of renewable energy sources, and explore alternative energy forms such as green hydrogen.
