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Egypt Seeks to Produce Blue Ammonia

Egypt Seeks to Produce Blue Ammonia

Wednesday, 15 September, 2021 - 11:00
Egypt and Japan sign memorandum of understanding in the presence of the Minister of Petroleum and the Japanese Ambassador (Asharq Al-Awsat)

Egypt's state-owned Egyptian Natural Gas Holding Company (EGAS) and the Egyptian Petrochemicals Holding Company (ECHEM) 's chairman signed a memorandum of understanding (MoU) with Japan's Toyota Tshusho to begin exploring opportunities in blue ammonia production.

The Egyptian Ministry of Petroleum and Mineral Resources issued a statement Tuesday indicating that economic feasibility studies will be conducted and the best available opportunities in the oil and gas sector will be studied to implement projects for extracting and storing carbon dioxide to produce blue ammonia using the latest Japanese technologies.

The statement, of which Asharq Al-Awsat received a copy, noted that studies are set to be completed within six months to implement the best projects on the commercial and environmental levels.

Egypt's Minister of Petroleum and Mineral Resources, Tarek El Molla, and Deputy Japanese Ambassador in Cairo, Matsubayashi Kenichiro, witnessed the signing of the MoU. It was signed by EGAS' chairman, Magdy Galal, ECHEM's chairman, Saad Helal, and Toyota Tsusho Corporation Executive Consultant Yoshihiro Inoue.

The minister noted the importance of accelerating the implementation of the digital transformation in the management of petroleum activities.

He called for the quick implementation of the national control system in the national network to transport crude and petroleum products, which increases the security of the system's operation and supports adoption.

According to the minister, the decision comes in light of the importance of the network that efficiently transports crude and petroleum products from oil fields, reception ports, and refineries to all parts of Egypt.

Molla pointed out that launching a comprehensive development strategy and raising the efficiency of the butane supply system resulted in the elimination of all challenges that existed five years ago.

The strategy also established seven main outlets to receive butane in ports, including three on the Mediterranean Sea and four on the Red Sea.

The storage capacity has increased in fields and ports, new transmission lines were extended, and the efficiency of facilities has been developed, according to the minister.

He also indicated that digital transformation in the system has been implemented by adding a smart control system in packaging, transportation, and distribution operations and the application of the SCADA system to ensure control of operations.

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