Maersk has signed a Memorandum of Understanding (MoU) with Egypt to further accelerate the supply of green fuels and the global transformation to net-zero shipping.

This partnership follows six fuel sourcing partnerships announced earlier this month and with it, Maersk joins forces with the General Authority for Suez Canal Economic Zone (SCZone), the Egyptian New and Renewable Energy Authority (NREA), the Egyptian Electricity Transmission Company (EETC), and the Sovereign Fund of Egypt for Investment and Development (TSFE).

"Egypt has excellent conditions for renewable energy production and ambitions to become a global leader in the green energy value chain. We are very excited to be able to explore options together, drawing on our more than 100 years of business relations in the country," said Henriette Hallberg Thygesen, CEO, fleet & strategic brands, Maersk.

Maersk said the parties will be conducting a feasibility study before the end of 2022 to examine Egypt-based hydrogen and green marine fuel production, powered by renewable energy with Maersk as a committed offtaker.

"The availability of green energy and fuel in sufficient quantities and at cost-competitive price levels is the single biggest challenge to the decarbonization of global shipping," Henriette Hallberg Thygesen said.

"For Maersk, our recently announced strategic partnerships with six industry leading companies are key in addressing this challenge, but to stay on the 1.5-degree pathway even more scale is needed within this decade. That is what this partnership is exploring."

Ayman Soliman, CEO of The Sovereign Fund of Egypt, said: "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."

Maersk noted that it intends to explore similar opportunities in other regions with strong potential for renewable energy development, drawing on business and governmental relations to facilitate opportunities for nations and commercial players to embrace the rapid acceleration in green fuel production that is key to the decarbonization of shipping.