Japan's Itochu Corporation to explore joint development & off-taking of green ammonia from ACWA Power Egypt project

Agreement solidifies ACWA Power’s position as leading developer of giga-scale green hydrogen projects.

Kingdom of Saudi Arabia, Riyadh, 06 June 2024: Saudi-listed ACWA Power, the world’s largest private water desalination company, and a leader in energy transition and first mover into green hydrogen, signed an agreement to explore Japan’s Itochu co-developing and off-taking ammonia from a green hydrogen project in Egypt that would have an initial capacity of 600,000 tonnes-per-year of green ammonia.

This announcement follows the framework agreement that ACWA Power signed with the Sovereign Fund of Egypt (TSFE), the Suez Canal Economic Zone (SCZone), the Egyptian Electricity Transmission Company (EETC), and the New and Renewable Energy Authority (NREA) in December 2023 to develop the first phase of the plant.

“We look forward to working with Itochu on the development of our Egyptian Green Ammonia project. We value their vision and their partnership, and I am confident that together we can make this project a reality” Marco Arcelli, Chief Executive Officer of ACWA Power.

Mr. Takeo Akamatsu, General Manager of Green Innovation Business Unit from Itochu Corporation added: “Through this collaboration with the reputable partner, ACWA Power, our initiatives to introduce low-carbon/clean ammonia to the maritime sector as an alternative zero-emission fuel will be reinforced, as this product of green ammonia will be a promising source for our ammonia bunkering hub set-up in the Suez Canal under joint development with our partner in line with the Egyptian government’s support.”

ACWA Power’s current green hydrogen portfolio includes the participation in Neom Green Hydrogen Project, the world’s largest plant fully dedicated to export, that it is developing together with Air Products and Neom, for which it has secured an $8.5 billion financial close and 30-year offtake agreement, and a plant in Uzbekistan, together with its partner Uzkimyosanoat, an Uzbek state-owned chemical company on which construction began in November 2023.