Egypt signs $500m Suez Canal deal with Maersk, discusses $800m port investment
The Suez Canal Authority has signed a deal worth $500m with Danish shipping company Maersk to build a berth at East Port Said, business news site Zawya reports.
The project will add a 1km-long dock to the existing 500m quay at the port’s container terminal.
The project will also increase the number of cranes to 30, and these will be powered by electricity rather than diesel to curb emissions.
Maersk is also considering a plan to turn the port into a smart terminal operated by the latest digital systems.
In a separate development, Reuters reports that Egypt yesterday signed two provisional agreements for the development of unnamed port facilities. The deals are with a consortium made up of Hutchison Ports of Hong Kong, Chinese shipper Cosco and France’s CMA CGM.
It added that the agreements could lead to investments of up to $800m.
Orginal Article Link: https://www.globalconstructionreview.com/egypt-signs-500m-suez-canal-deal-with-maersk-discusses-800m-port-investment/
Nokia International, Etisal sign agreement to manufacture Nokia phones in Egypt
Minister of Communications and Information Technology Amr Talaat witnessed the signing of a cooperation agreement between HMD International — the owner of Nokia — and Etisal for Advanced Industries (EAI) in Egypt to manufacture 1m mobile devices of various models by the end of the year.
The agreement was signed by Tamer Al-Gamal, General Manager of HMD in Egypt; and Ahmed Abu Auf, Managing Director of Etisal Advanced Industries (EAI), in the presence of several officials from both sides.
Talaat said in a press statement issued on Saturday that this agreement comes to devote the efforts of the state to create a climate that supports the growth of investments by international companies in Egypt, and it also confirms the government’s keenness to encourage and motivate the private sector to manufacture within Egyptian factories, transfer knowledge and expertise, localise the electronics industry to contribute to its development, and create specialised job opportunities for young people in the field of IT and electronics.
For his part, Abu Auf said that the agreement encompasses manufacturing Nokia mobile phones at the highest quality locally, which achieves Egypt’s strategy to establish itself as a regional centre for advanced industries.
Meanwhile, Al-Gamal said that under the agreement, HMD will provide EAI with the production requirements of raw materials, inspection and testing tools, and calibration equipment necessary for the production process.
“We will also provide the factory in Egypt with transfers of technological expertise and technical support by training Egyptian cadres at the hands of Nokia experts from Finland, in addition to providing all means of support to take advantage of the company’s research and development centres to provide the best specifications and products that meet consumer needs,” he said.
It is worth noting that EAI — through its factory in Sixth of October City — is developing and manufacturing advanced electronics with a production capacity of more than 2m units this year that will increase to 10m annually in the coming years.
Orginal Article Link: https://www.zawya.com/en/business/manufacturing/nokia-international-etisal-sign-agreement-to-manufacture-nokia-phones-in-egypt-wwbw1vpv
ITIDA, Valeo sign MoU to increase software exports from Egypt
Minister of Communications and Information Technology Amr Talaat witnessed the signing of a memorandum of understanding (MoU) between the Information Technology Industry Development Agency (ITIDA) and Valeo to expand its investments and business volume in Egypt.
The event was also attended by Mark Vrecko, Valeo Comfort & Driving Assistance Systems Business Group President.
Under this MoU, Valeo will expand its business in Egypt, increase its exports of software services, and provide additional job opportunities for more than 850 engineers based in Egypt in order to export software to its clients abroad.
The MoU also stipulates that the ITIDA and Valeo will cooperate in building the capabilities of Egyptian cadres by providing specialised training in the field of software and electronics, in addition to creating job opportunities for trainees as part of Valeo’s efforts to expand its business in Egypt.
The MoU was signed by Amr Mahfouz, CEO of the Information Technology Industry Development Agency (ITIDA); and Tamer Aly, Valeo Egypt general Manager & Group Technical Center Vice Président.
For his part, Talaat said that Valeo’s interest in expanding its business in Egypt reflects the attractiveness of the Egyptian ICT sector to foreign investments and the availability of young cadres with creativity and leadership in development processes, stressing the state’s keenness to enhance Egypt’s position in providing value-added information technology services and cross-border services, especially as it is a leading global destination in this field.
He also referred to the efforts of his ministry to develop the technical skills of young people — especially in the delicate technological disciplines — in a way that contributes to providing digital competencies for international companies operating in Egypt, in addition to providing facilities and investment incentives for international companies to create an environment conducive to the growth of investments.
Moving on, Mahfouz indicated that in light of the interest and directives of the Ministry of Communications and Information Technology to encourage and attract foreign investments in the field of value-added information technology services, the authority is working to enhance Egypt’s competitiveness in these areas, as well as providing support and talent development in the fields of embedded systems and electronics design, all within the framework of Egypt’s 2022-2026 Digital Strategy for the outsourcing industry, through which it aims to triple the volume of digital exports.
Additionally, Ali pointed out that Valeo Egypt is in continuous growth and contributes strongly to the group’s strategy towards creating a new era in automotive technology that depends entirely on AI and software.
The Valeo Egypt Technical Centre includes about 2,500 Egyptian engineers working on software engineering development in the field of embedded systems, electronic circuit design, intelligent transportation and autonomous driving for Valeo customers, including providing a full range covering all Valeo products to its customers all over the world.
The minister toured the Valeo Egypt Technical Centre, which is one of the largest centres of the Value Group and produces about 60% of the group’s total software production. It also develops about 250 projects annually for Valeo clients in France, Germany, the US, China, Japan, and others.
Orginal Article Link: https://dailynewsegypt.com/2022/08/04/itida-valeo-sign-mou-to-increase-software-exports-from-egypt/
Egypt’s Infinity to become Africa’s largest renewable energy company
Egypt’s Infinity Group will become Africa’s largest renewable energy company when it, along with Africa Finance Corporation, acquires Lekela Power in an undisclosed deal that is expected to close this year, the parties said on Monday.
British private equity firm Actis and Mainstream Renewable Power agreed to sell their stakes of 60 per cent and 40 per cent respectively in Lekela.
Lekela, founded in 2015, is Africa’s largest independent power producer.
The proposed acquisition includes Lekela’s 1-gigawatt portfolio of operational wind power projects in Egypt, Senegal and South Africa, and a 1.8-gigawatt pipeline of projects in development across the continent. It is subject to regulatory approvals and customary closing conditions.
“The acquisition of Lekela is a milestone for us at Infinity, as it not only becomes the largest such acquisition in the history of the continent, but also signifies the continuous growth and expansion of Infinity’s efforts to create a sustainable supply of clean green energy,” said Infinity co-founder and chief executive Nayer Fouad.
Africa’s installed renewable energy capacity is set to grow from more than 54 gigawatts in 2020 to more than 530 gigawatts by 2040, according to the International Renewable Energy Agency. Solar photovoltaic technology will rise to 340 gigawatts and wind to 90 gigawatts.
In addition to combating climate change, increasing renewable energy resources will help to drive energy access in the continent, as almost half of Africa’s population does not have access to electricity.
Egypt, which is to host the UN climate change conference Cop27 in Sharm El Sheikh in November, has committed to sourcing 42 per cent of its total electricity from renewable energy by 2035. Its installed renewable energy capacity was at 31 per cent last year, surpassing its 20 per cent target.
Infinity, founded in 2014, provides solar, wind and waste-to-energy power solutions for homes, companies and cities across Egypt.
Infinity’s projects include six power plants in Aswan’s Benban Solar Park with a capacity of 235 Megawatt peak, a complex that covers 37 square kilometres.
Infinity EV is building the largest electric vehicle charging network in Egypt, with more than 300 points installed to date.
In 2020, Infinity and Abu Dhabi’s clean energy company Masdar established the joint venture Infinity Power to develop utility-scale solar and wind power projects in Egypt and Africa.
The company is developing and funding projects that take advantage of Africa’s abundant solar, wind, hydro and thermal energy resources, while managing the population’s urgent needs. It has financed more than 2,000MW of power generation and has beneficial ownership interests in 485MW, of which 135MW is sourced from renewable energy.
“We are focused on reducing Africa’s massive energy deficit through expanding the quantum of electricity using the various energy sources available throughout the continent,” said AFC president and chief executive, Samaila Zubairu.
“Working together with our partner, Infinity, we aim to more than double the capacity of our joint operating assets over the next four years, which stands at 1.4 gigawatts after the Lekela acquisition,” he said.
The Lekela platform includes five operational wind farms in South Africa with a capacity of 624MW, a 252MW wind farm in Egypt and a 159MW wind farm in Senegal, as well as development opportunities in Egypt, Ghana and Senegal.
Actis and Mainstream said the planned exit “reflects the successful culmination of their partnership strategy for Lekela, following a comprehensive value creation approach”.
Mainstream specialises in the development of onshore and offshore wind and solar projects.
The Actis Energy Infrastructure team has invested in more than 70 renewable energy projects to date, generating approximately 11 gigawatts of renewable energy globally.
“We’re proud to leave Lekela strongly positioned for its next phase of growth as an acknowledged sustainability leader supplying much-needed clean energy to communities across Africa,” said Lucy Heintz, partner and head of energy infrastructure at Actis.
Orginal Article Link: https://www.thenationalnews.com/business/energy/2022/07/19/egypts-infinity-to-become-africas-largest-renewable-energy-company/
Egypt and UK ministers launch new association council in London
The UK’s Foreign Secretary Liz Truss and her Egyptian counterpart have signed a joint statement of intent to reform renewable energy regulations at the launch in London of a new platform to develop strategic partnerships.
The “platform for co-operation”, built on an agreement signed by the nations in December 2020, was created this week at the inaugural meeting of the UK-Egypt Association Council.
Ms Truss and Foreign Minister Sameh Shoukry took the opportunity to explore prospects for enhanced economic co-operation between the countries and agreed to increase bilateral trade and investment.
The two also discussed several matters of mutual concern, including the food crisis resulting from the war in Ukraine and the hosting of Cop27 in Sharm El Sheikh in November.
Describing the meeting as "fruitful" in a statement released by both ministers, they welcomed a number of successful commercial collaborations, including: the two-line Cairo Monorail project featuring trains manufactured in Derby, central England, and supported by UK Export Finance; the purchase by the Egyptian Navy of two ex-Royal Fleet Auxiliary ships; investment of $80 million for the opening of a 66-megawatt solar farm by Globeleq; and the launch of commercial operations at the Lekela wind farm in northern Egypt with a joint fund of $325m.
Ms Truss and Mr Shoukry pledged to work towards improving market access across a number of industries and sectors, and to tackle any barriers impeding trade and the sharing of expertise.
The UK and Egypt emphasised their commitment to strengthening bilateral co-operation and investment in health care and education, given both fields’ direct effect on levelling-up, job creation and enhancing the quality of public services.
A “new phase” of technical collaboration between the UK’s National Health Service and Egypt’s healthcare system are among the projects in the pipeline, the statement said
Orginal Article Link: https://www.thenationalnews.com/world/uk-news/2022/07/08/egypt-and-uk-ministers-launch-new-association-council-in-london/
Egypt, Brazil To Boost Trade In Textile And Other Sectors
Egypt is actively engaged with Brazil to boost biliteral trade in various sectors including textiles. The free trade agreement (FTA) between Egypt and the Mercosur countries (Argentina, Brazil, Paraguay, and Uruguay), which entered into force in 2017, plays a pivotal role in promoting trade between Egypt and Brazil. Exports have jumped 3 times since the FTA.
There are distinguished investment opportunities for the Brazilian business community in the Egyptian market in the areas of the manufacture of textile, spare parts, pharmaceuticals, engineering, along with new and renewable energy, Egyptian minister of trade and industry Nevine Gamea said at an event of Arab-Brazilian Economic Forum, which she attended virtually.
The FTA between Egypt and Mercosur countries contributed to increasing the competitiveness of Egyptian exports and enhancing its access not only to Brazil but to all Mercosur countries, given that the Brazilian market remains a focal point in the penetration and marketing of goods to neighbouring countries, the minister added.
After the FTA entered into force, Egyptian exports to Brazil increased over three times from $155 million in 2017 to $541 million in 2021, as agreement provided access to many strategic goods at competitive prices.
The FTA also encouraged export of Egyptian apparel and home textile products to Brazil. Egypt’s apparel exports to Brazil were just $0.944 million in 2017, which increased to $2.281 million in 2020 and $2.249 million in 2021, according to Fibre2Fashion’s market insight tool TexPro.
In home textiles, Egypt’s exports to Brazil were valued at $1.158 million in 2017, which increased to $3.507 million in 2020 and $9.223 million in 2021, as per TexPro.
Orginal Article Link: https://www.fibre2fashion.com/news/textile-news/egypt-brazil-to-boost-trade-in-textile-and-other-sectors-281779-newsdetails.htm
70 locally produced electric buses to run in Cairo from October
As part of its climate policy, the Egyptian government will put 70 electric buses on the road in the governorate of Cairo. These locally manufactured vehicles will serve the population while contributing to the fight against air pollution in the country of the pharaohs.
On the eve of the 27th United Nations Conference of the Parties on Climate Change (COP27), which Egypt will host in November 2022, the country of the pharaohs is working to promote green mobility. In this context, the Ministry of State for Military Production and the Ministry of Local Development have signed an agreement for the acquisition of 70 electric buses that will be used in Cairo from October 2022.
At a total cost of 323 million Egyptian pounds (more than $17 million), these electric buses called “Setibus” are produced locally in the factory of the Egyptian manufacturer Manufacturing Commercial Vehicles (MCV) based in Salheya, in the governorate of Ach-Sharqiya. With a maximum speed of 70 km/h, the “Setibus” can carry up to 73 passengers, or 49 seats. According to the Egyptian authorities, the electric bus is equipped with automatic air conditioning and an intelligent system for internet services.
Towards more sustainable transport
The acquisition of these new vehicles contributes to the reduction of pollution in Egypt. The Egyptian government plans to accelerate the construction of electric car charging stations. “It’s about promoting local industrialisation in the field of modern transport using natural gas and electricity,” says Mahmoud Shaarawy. According to the Egyptian Minister of Local Development, some of the 70 electric buses ordered will also be deployed in the seaside city of Sharm-el-Sheikh for the duration of COP27.
Earlier in April 2022, the European Bank for Reconstruction and Development (EBRD) provided the government of Egypt with a €250 million loan under its Green Cities programme. The funding will be used to upgrade and electrify a railway line between the port city of Alexandria and the city of Abu Qir in the north-east of the country.
Orginal Article Link: https://www.afrik21.africa/en/egypt-70-locally-produced-electric-buses-to-run-in-cairo-from-october/
Egypt’s Instabug raises $46m Series B to build expand product capabilities
Egyptian startup Instabug, a mobile monitoring, crash and bug reporting solution for mobile teams, has raised US$46 million in Series B funding to add to its product and build what it says will be the first mobile observability and performance monitoring platform.
Founded in 2016, Instabug helps developers better understand the performance of their mobile applications, and its impact on user experience. The company’s robust platform scales with any sized business, allowing independent developers and enterprises alike to seamlessly monitor, alert, prioritise and debug during critical phases of the application life cycle.
Its US$46 million Series B round was led by global software investor Insight Partners, with participation from existing investor Accel as well as new investors Forgepoint Capital and Endeavor. The capital raise follows record growth in 2021, in which Instabug reached more than 2.7 billion mobile devices, processed 110 billion mobile sessions and 4.2 billion issues, and saw substantial increase in year-on-year bookings, adding enterprise leaders like DoorDash, Verizon, IHG, ABInveb, Porsche, Qualtrics and Gojek to its customer base.
With the new funding, Instabug will continue to aggressively execute on its mission of serving engineering teams with performance metrics and issue visibility, and product teams with customer insights and direct user feedback. By adding to its existing proactive issue detection, advanced debugging and alert management capabilities, Instabug says it is building the first mobile observability and performance monitoring platform.
“Mobile applications and our interactions with them have been evolving for almost 15 years, but only in the past few have these interactions become the primary way we interface with brands and services all around us,” said Omar Gabr, CEO and co-founder of Instabug. “Leaders in industries spanning banking, transportation, retail, and education have realised mobile applications are the primary way customers will experience their brands and products. This new capital will help us develop more strategic partnerships with these enterprises as they increase investment in a mobile-first approach to customer engagement.”
Ganesh Bell, managing director at Insight Partners, said today’s digital brands and services are increasingly demanding purpose-built mobile solutions that improve their products and experiences.
“Instabug is strongly positioned to lead the nascent mobile app observability and monitoring space because the company has treated mobile as a first-class citizen since day one, and its leadership has a deep understanding of the needs faced by mobile-focused/mobile first organisations and developers,” he said.
Orginal Article Link: https://disrupt-africa.com/2022/05/18/egypts-instabug-raises-46m-series-b-to-build-expand-product-capabilities/
Egyptian IT firm Benya to establish investment arm in Saudi Arabia next month
RIYADH: Egyptian Information and communications technology provider Benya Group is planning to establish an investment arm in Saudi Arabia by the end of this year, according to a report published in Daily News Egypt.
The move from Benya Group is considered the firm's first step in its expansion in the markets of the Arabian Gulf.
Ayman Al-Bayaa, Benya Group chief operations officer and CEO of Benya Systems, said that Saudi Arabia is an excellent market in terms of investment opportunities in the field of data centers, smart city solutions, and information security.
Headquartered in Cairo, Benya Group is known for providing digital solutions and ICT infrastructure to companies in Egypt and the Middle East and North Africa region.
The company operates in multiple verticals of ICT which include telecommunication services, cloud, and security solutions, hyperscale data centers, manufacturing technology-based solutions and systems integration, according to the company website.
Orginal Article Link: https://www.arabnews.com/node/2083836/business-economy
Egypt Investing $40Bn To Green Hydrogen Projects
Egypt’s pipeline for green hydrogen projects stands at 11.62 gigawatts (GW), equivalent to over 1.57 million tons of green hydrogen, ranking the country in the top three green hydrogen pipelines globally, after Australia and on par with Mauritania.
The estimated cost for these hydrogen projects alone, without additional infrastructures, will be around $20 billion. The projects are expected to come online before 2035, according to Rystad Energy research.
The series of projects announced in Egypt over the past three months has captivated foreign developers and highlighted the country’s potential. The interest shown by international developers in Egypt is due to some favorable factors including the country’s location, natural gas infrastructure, liquefaction facilities, bunkering market, and marine ports, as well as its high solar and wind potential.
Egypt is also close to markets like the European Union and the Middle East – regions set to see a huge demand for hydrogen in the coming years.
The government of Egypt plans to release a $40 billion national hydrogen plan in the coming months, recognizing the importance of production, storage, and export and import of green hydrogen and ammonia under its economic development strategy and allowing for state support and tax incentives.
The process of establishing, operating, and managing hydrogen projects has been simplified, requiring a single permit, which means less red tape. Additional incentives could include special custom points for export and import, utility connection costs being passed on to the state, the reimbursement of 50 percent of land allocation costs – under the condition that the project commences production within two years – and other non-fiscal incentives.
“Egypt has all the prerequisites to become a green hydrogen giant – fantastic renewable potential, space for mega projects, and construction expertise. The $40 billion in planned investments by the Egyptian government demonstrates commitment and will bring further foreign investment. Sitting between three continents and with the Suez Canal carrying approximately 12 percent of all the seaborne freight in the world, Egypt can supply renewable energy near and far. The domestic market will benefit too as the Egyptian agriculture sector can look forward to being one of the greenest when it comes to fertilizer use,” says Minh Khoi Le, Head of Hydrogen at Rystad Energy.
This plan would be a huge development for Egypt’s green hydrogen economy. The upcoming legislation will enable green hydrogen and ammonia plans, and with the over 11 GW of projects already announced, Rystad Energy expects a huge inflow of foreign investment into the country.
Several feasibility studies and MoUs between Egyptian state entities and leading international ammonia and hydrogen market players for the development of green ammonia and green hydrogen have been reported in 2021.
These studies and preliminary agreements are expected to proceed to projects due to the commitment from the Egyptian government that should encourage additional international investors to enter the Egyptian hydrogen and ammonia market.
Project by capacity
Major announcements made this year include French utility EDF and ZeroWaste which signed an MoU with Egypt's Suez Canal Economic Zone to produce 350,000 tons of green fuel annually in the Ain Sokhna region for ships, vessels, and tankers crossing the Suez Canal.
The project’s first phase will produce 140,000 tons of green ammonia using close to 25,000 tons of green hydrogen from desalinated seawater and renewable energy as feedstock. Commissioning is scheduled for the first quarter of 2026. Capacity will then gradually increase to 350,000 tons of green ammonia production per year. The project will involve a total investment of $3 billion.
AMEA Power, a subsidiary of Al Nowais Group, also inked an MoU with the Suez Canal Economic Zone to produce 390,000 tons of green ammonia per year in Ain Sokhna for export purposes. In addition, Norway’s Scatec announced plans to develop a $5 billion green hydrogen and ammonia facility, that will also be in the Suez zone.
Scatec inked an MoU with the General Authority of the Suez Canal Economic Zone for the project, which will be capable of producing 1 million tons of green ammonia annually, and could potentially expand to 3 million tons of green ammonia. The green ammonia will mainly be exported to European and Asian markets, where demand for clean ammonia is increasing rapidly.
Other projects in the country come from the Danish shipping company Maersk. British oilfield services provider Petrofac and New York-based hydrogen production and energy storage company H2-Industries aim to produce green fuels, green ammonia as well as liquid organic hydrogen carriers.
Almost 80 percent of the announced green hydrogen projects in Egypt are planned for the Suez zone, a global logistics hub that aims to connect Europe, Africa, and Asia through the Arabian Gulf and is responsible for 20 percent of the international container trade and 10 percent of the seaborne trade.
The hub’s Air Sokhna region enjoys proximity to a seawater desalination plant, sewage treatment plant, and bunkering facilities like ammonia, which make it very suitable for the trade of hydrogen and its derivatives.
The seven projects announced for the region in the last three months have a combined capacity of 10.76 GW, meaning an output of over 1.5 million tons of green hydrogen.
Orginal Article Link: https://www.rigzone.com/news/egypt_investing_40bn_to_green_hydrogen_projects-19-may-2022-169054-article/