The German government has selected the UAE-based fertiliser company Fertiglobe to supply at least 259 kt of green ammonia produced in Egypt between 2027 and 2033. The tender, part of Germany's H2Global programme initiated in 2021, attracted bids from over 65 countries, reaching a contract price of €1,000/t euros per ton, including delivery to Europe, and a net price of €811/t.
Fertigloble is a joint-venture between OCI, a Dutch company, and Abu Dhabi National Oil Co (ADNOC), which will produce the green ammonia in Egypt from 273 MW of renewables, which are currently under construction. The company is expected to produce up to 397,000 t of renewable ammonia by 2033, starting with an initial supply of 19,500 t in 2027, under a contract valued at up to €397m.
In 2021, Scatec and partners agreed to develop, build, own and operate a 100 MW electrolyser facility to produce renewable hydrogen to be used as feedstock for the production of renewable ammonia at Fertiglobe’s existing ammonia plant in Ain Sokhna, in Egypt.
The volume of the tender represents over 10% of Germany's annual ammonia production. The country is focusing expanding green hydrogen use to reduce emissions in hard-to-electrify industrial sectors and lessen reliance on fossil fuels. The auction is the first of several global tenders aimed at importing green hydrogen derivatives to aid in decarbonation efforts.
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