Maersk signs green fuel partnership with Egypt

Danish shipping company Maersk today signed an initial agreement for green fuel production in Egypt.

The agreement involves completing a feasibility study by the end of this year to examine hydrogen and green marine-fuel production, with Maersk as offtaker.

Parties to the agreement include the General Authority for Suez Canal Economic Zone, the Egyptian New and Renewable Energy Authority, the Egyptian Electricity Transmission Company and the Sovereign Fund of Egypt for Investment Development (TSFE).

"Maersk's bid to accelerate the supply of green fuels and the global transformation to net-zero shipping will expand the Suez Canal's service offering as a main global hub for green bunkering in the region," said TSFE chief executive Ayman Soliman.

The agreement follows Egyptian authorities awarding bunker licenses to three companies in a bid to develop its bunkering infrastructure to compete with hubs in the Mediterranean and east of Suez.

Argus started marine fuel price assessments for Suez high-sulphur fuel oil, very low-sulphur fuel oil and marine gasoil grades on 14 March.

By James Marriott