Egyptian firm to supply green ammonia to vessels in the Suez

Freepan Holdings will source 800,000 mt/year of green ammonia, from Germany's DAI Infrastructure (DAI), and supply it to ships transiting the Suez Canal.

PHOTO: A container vessel docked at the East Port Said terminal in the Suez Canal. SCZONE

The 10-year ammonia supply agreement between Freepan Holdings and DAI will be effective from the first quarter of 2028, according to DAI.

DAI is building a green ammonia plant at East Port Said in Egypt, with the capacity to produce 1.6 million mt/year by 2028. The facility's capacity can be expanded to 2 million mt/year if necessary.

East Port Said is a deep-water port on the Mediterranean Sea and is located at the northern end of the Suez Canal.

Through this pact, the Egyptian ammonia trader will be able to support the shipping industry's transition to lower carbon dioxide emissions, according to Panagiotis Natsiopoulos, the chief executive of Freepan Holdings.

Part of Freepan Holdings' green ammonia offtake will also be used for "trading to European markets”, per DAI.

By Konica Bhatt

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