DAI Infrastruktur GmbH (DAI), Frankfurt, Germany has signed an MOU with Siemens Energy to collaborate on the green ammonia project Ra in East Port Said, Egypt.
iemens Energy plans to supply electrolyzers, auxiliary plant systems and critical equipment making up the hydrogen island. Additionally, both companies will collaborate on engineering services during the project development stage.
The green ammonia project named Ra” located in East Port Said, Egypt with a total production capacity of 2 million tonnes of green ammonia annually (2 mtpa) is estimated to produce 1,65 mtpa purely based on renewable energy resources. Production is estimated to start in 2028.
DAI Infrastruktur is strongly committed to developing East Port Said to be one of the biggest green ammonia hubs in the East Mediterranean. The location of the plant and it’s perfect access to the sea will help the maritime industry in bunkering their vessels as well as shipping the valuable green ammonia to off takers within Europe.
..said Ioannis Papassavvas from DAI.
As explained, the green ammonia is intended to be sold to German and predominantly European off takers. The bulk of the produced green ammonia will be used in the maritime sector as fuel. The location of the plant next to the Suez Canal and within the perimeters of the harbour in East Port Said, Egypt will ensure bunkering services for the green ammonia fuelled vessels that pass the Suez Canal.
The IEA’s updated Net Zero Roadmap projects ammonia to lead shipping sector’s alternative fuel consumption by 2050, with 44% of final energy consumption compared to only 3% for methanol. According to Clarkson Plc, London, close to 50% of the new ordered vessels in 2023 who run on alternative fuel will choose green ammonia for their propulsion.
Furthermore, earlier this year, DAI has signed MoU witth Freepan according to which Freepan will offtake 800 000 TPA of green ammonia.