ReNew Power has signed a memorandum of understanding to set up a green hydrogen plant in Egypt. The plant will require an investment of US$8 billion.
ReNew will conduct project and site evaluations in the next months. And is anticipated to make a final investment decision over the following 16 months based on the agreement with Egypt.
The announcement comes after green energy firm Fortescue Future Industries unveiled plans in September to build a green hydrogen plant in Egypt, with 9.2 GW of solar and wind generation.
The green hydrogen plant in Egypt expected to be constructed in phases
The project, which is intended for the Suez Canal Economic Zone, is expected to be constructed in phases. The first phase is expected to produce 20,000 tons of green hydrogen and its derivatives and be put into service in 2026.
However, there was no timetable provided for when the facility would reach its full capability to produce 220,000 tons of green hydrogen annually. Elsewedy Electric, a provider of energy solutions, and ReNew Power have joined to develop the project locally.
Also Read: MoU signed for development of new 10GW wind project in Egypt
In order to create green hydrogen facilities in India, ReNew Power and the engineering firm Larsen & Toubro signed a contract last year. The two later formed a joint venture with IndianOil.
ReNew Power Q3 report
The announcement regarding Egypt comes at the same time as ReNew releases its findings for the three months ending on September 30. Showing that it had 3,713MW of installed solar power at the end of the quarter. Which is a 45% increase over the same period last year.
Furthermore, the company’s sales for the quarter increased by 5.1% year over year to $275 million. However, it also reported a net loss of $12.1m as opposed to $81m in the same period last year.
ReNew CEO, Sumant Sinha, said, “This year, the company’s core operations have continued to run as planned. Additionally, thanks to our continued access to affordable finance, we are able to take advantage of considerable growth prospects.”
