Hassan Allam’s firm, others join Egypt's sovereign fund in $14-billion ammonia plant

Omokolade Ajayi -

Key Points:

  • Egypt’s Sovereign Fund, partnering with Hassan Allam Utilities, plans a $14-billion green ammonia plant at Ain Sukhna Port.
  • The project is part of Egypt’s $33-billion green ammonia initiative, involving BP, Masdar, and Infinity Power.
  • Hassan Allam Holding expands its regional influence with projects like a 10 GW wind farm and contracts in Saudi Arabia.

The Sovereign Fund of Egypt, in collaboration with Hassan Allam Utilities, which is controlled by Egyptian businessman Hassan Allam, has announced plans to invest in a $14-billion green ammonia plant. Hassan Allam Utilities operates as the sustainable infrastructure-focused development and investment platform of Hassan Allam Holding,

This project is part of a larger agreement involving BP, UAE’s Masdar, and Infinity Power to develop a green ammonia facility in Ain Sukhna Port on the western coast of the Gulf of Suez. The announcement is one of four green ammonia agreements signed by Egypt’s sovereign wealth fund, totaling up to $33 billion in investment.

Supporting Egypt’s renewable energy ambitions

These deals include an $11-billion project with Frankfurt-based DAI Infrastruktur in East Port, and additional agreements with OCIOR Energy and a consortium of TAQA Arabia and Voltalia for projects in Sokhna Port, worth $4.25 billion and $3.46 billion respectively.

These initiatives are part of Egypt’s strategy to position itself as a leader in green energy production and align with the government’s recent investment incentives. The projects are expected to significantly contribute to the country’s renewable energy goals and its efforts to decarbonize the energy sector.

Expanding influence across the Middle East and Africa

The recent deal adds to the extensive project backlog of Hassan Allam Holding, a privately held engineering and construction conglomerate.

Led by Hassan and Amr Allam, the company signed a land access agreement in May with the Egyptian government for a 10-gigawatt (GW) onshore wind farm, potentially exceeding $10 billion in value.

Hassan Allam Holding’s regional expansion

Hassan Allam Holding has been a key driver of economic growth in North Africa and the Middle East, with a construction backlog exceeding $3 billion.

The company inaugurated its regional headquarters in Riyadh, Saudi Arabia, in March 2024, and announced a new contract for the Marina Hotel in Amaala Triple Bay on Saudi Arabia’s West Coast in April.

These moves underscore the company’s commitment to expanding its influence across the Middle East and Africa, building on its existing presence in the UAE, Oman, Libya, Jordan, and Algeria.