Egypt Minister Discusses Major Sinai Hydrogen Project and Hyperscale Data Center with Renergy Alliance

Egypt’s Minister of Investment and Foreign Trade Mohamed Farid Saleh met with representatives of the Renergy Group alliance to advance discussions on a massive green energy project in Sinai and a proposed hyperscale data center backed by approximately 1 billion dollars in investments.

The meeting brought together Renergy Egypt CEO Robert Valk as part of Egypt’s broader strategy to position itself as a regional hub for clean energy and digital innovation. The discussions centered on implementation of a major integrated green energy project in El-Tor South Sinai combining green hydrogen production solar power generation and energy storage systems.

The ambitious project spans approximately 127 square kilometers with a 4-kilometer frontage on the Red Sea coastline. The facility aims to produce 400000 tons of liquid green hydrogen annually with the entire output designated for export to European markets. Development will occur in two phases with the first phase targeting an export capacity of 160000 tons annually followed by a second phase reaching full production capacity.

In parallel to the hydrogen project the Renergy alliance presented a proposal to establish a hyperscale data center powered entirely by the green energy output from the renewable facility. The data center would initially cover 10000 square meters with expansion plans reaching up to 500000 square meters positioning it among the largest facilities in the region. The center will utilize seawater cooling systems and leverage Egypt’s strategic geopolitical location and direct connectivity to international submarine cables.

Minister Farid emphasized that the government is opening investment opportunities for projects that combine clean energy with advanced technology. He noted that Egypt supports strategic investments that deliver high added value while advancing environmental sustainability and that the Ministry is working to remove obstacles facing major investments.

The Minister reviewed findings from comprehensive technical studies conducted by Renergy Group over a two-year period costing 5 million euros. These studies confirmed the site’s soil suitability for constructing secure water reservoirs required for hydrogen production and power generation.

Farid requested that the consortium submit a comprehensive proposal including feasibility studies technical specifications financing structures and partner details. He stressed the need for coordination with the Ministries of Communications and Electricity the National Authority for the Development of the Sinai Peninsula and relevant security bodies to ensure compliance with national security and technical standards.

The project represents Egypt’s largest integrated green energy initiative and forms part of the country’s comprehensive vision to become a global logistics and industrial hub. Initial interest has emerged from Japanese investors to help finance the data center component of the development.

The hyperscale data center is designed to support massive computing needs enabling cloud services and large-scale data storage for global technology companies. These facilities typically require significant energy capacity making the integration with renewable energy sources particularly attractive to multinational companies seeking green data solutions.

Egypt is pursuing partnerships that integrate the country into global supply chains for clean energy and green data infrastructure. The government emphasized that the goal extends beyond attracting investment to building long-term strategic partnerships that strengthen Egypt’s role in global clean energy and data ecosystems.