South Korean construction and plant operation company (SK Ecoplant) in cooperation with China’s state-run construction giant China State Construction Engineering Corporation (CSCEC) will set up a green hydrogen and green ammonia plant in the Suez Canal Economic Zone (SCZone) with investments valued at $2 billion, according to a statement from SK Ecoplant.

By 2029, when the project is anticipated to be fully operational, the companies plan to establish and utilize 778 MWs of renewable energy, comprising 500 MW of solar energy and 278 MW of onshore wind energy.

The project will have an annual production of 50k tons of green hydrogen and 250k tons of green ammonia.

Following the Egyptian government's forthcoming allocation of a land parcel for the project, the two companies will proceed with their feasibility studies. Subsequently, they will determine the precise scale and timeline of the undertaking.

This came under the framework of the recent 7 agreements which were signed by Egypt with international developers to implement green hydrogen and renewable energy projects in the Suez Canal Economic Zone (SCZONE) within 10 years, with over $40 billion in investments.

These agreements will provide investments for the pilot phase valued at $12 billion, in addition to about $29 billion for the first phase, according to a statement by Minister of Planning and Economic Development, Hala El Said.