Maersk’s C2X has inked a framework agreement worth up to $3 billion with the Egyptian government to accelerate large-scale production of green methanol in the Arab Republic.
C2X targets an annual production capacity of over three million tonnes by 2030 from project opportunities in key locations globally, according to a press release.
The joint project will be carried out in collaboration with the General Authority for Suez Canal Economic Zone (SCZone), the Egyptian New and Renewable Energy Authority (NREA), the Egyptian Electricity Transmission Company (EETC), and the Sovereign Fund of Egypt for Investment and Development (TSFE).
Brian Davis, CEO of C2X, said: “This is an important step forward for the global transition to green methanol. Egypt has many natural advantages that support a world-class green methanol project including access to low-cost renewables and proximity to the Suez Canal and maritime customers.”
The Chairman of SCZONE, Waleid Gamal El-Dien, commented: “Today’s FWA is the 10th framework agreement within memorandums of understanding (MoU) signed by SCZONE which aims to transform to a green economy and its various industrial applications, making use of its capabilities related to the integration of its ports with affiliated industrial zones.”
Initiated in March 2022 the framework agreement moves it to a deeper level of collaboration with more advanced technical and commercial feasibility studies towards the shared objective.