Egypt has signed deals worth $33 billion with companies including BP, Masdar, and Germany’s DAI for green ammonia projects, The National reported, citing a statement by the Egyptian government. One of the projects, worth $11 billion, would see Egypt’s sovereign wealth fund partnering with German FAI Infastruktur for the construction of a green ammonia plant in East Port Said.
The problem with the green versions of both hydrogen and its product ammonia is that the process of making them is quite costly. The reason they are called green is because they are produced through hydrolysis, powered by wind or solar power. Yet the intermittency of wind and solar generation makes that power expensive as does the energy intensity of the process of hydrolysis. Green hydrogen production also requires enormous amounts of water, which also adds to the costs.
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