Monday, 25 May 2026
Egypt, Qatar ink $200m sustainable aviation fuel agreement
In a significant step towards advancing renewable energy and environmental sustainability, Egypt’s Prime Minister Dr. Mostafa Madbouly attended today the signing ceremony for a major investment by Qatar’s Al Manaa Holding Group to establish a plant for Sustainable Aviation Fuel (SAF) production in Sokhna, within the Suez Canal Economic Zone. The project, valued at $200 million, marks Al Manaa’s first industrial investment in the region.
The signing took place at the cabinet headquarters in Egypt’s New Capital, with the participation of Mr. Walid Gamal El-Din, Chairman of the General Authority for the Suez Canal Economic Zone, Mr. Abdulaziz Al Manaa, CEO of Al Manaa Holding Group, and representatives from Green Sky Capital and SAF Fly Limited.
The new facility will be developed on a total area of 100,000 square meters, including 70,000 square meters in the industrial zone and 30,000 square meters in Sokhna Port. It aims for an annual production capacity of 200,000 tons of sustainable fuels derived from used cooking oil, including HVO SAF (Hydrotreated Vegetable Oil – Sustainable Aviation Fuel), BioPropane, and BioNaphtha. Notably, a long-term supply agreement has been signed with Shell, a leading global energy company, to purchase the plant’s full output, with deliveries set to begin by the end of 2027.
At the ceremony, Prime Minister Madbouly welcomed the project as a substantial addition to Egypt’s economic zone, aligning with global trends towards renewable energy and supporting the country’s objectives for sustainable aviation growth. He highlighted that the project is being sealed concurrently with the Egyptian-Qatari Business Forum in Cairo, reflecting the deepening economic and political ties between Egypt and Qatar, and their shared commitment to increasing joint investments and trade.
Mr. Walid Gamal El-Din noted that the Suez Canal Economic Zone has become a preferred destination for international investment, thanks to its world-class infrastructure, diverse energy sources, skilled workforce, and attractive legal and fiscal incentives. He described the localization of sustainable fuel production as a “qualitative leap” in the authority’s recent achievements.
Highlighting the environmental benefits, he emphasized that producing SAF can reduce harmful emissions by 50-80% compared to conventional aviation fuel, supporting both Egypt’s export ambitions and contributions to global sustainability efforts.
Mr. Abdulaziz Al Manaa expressed his pleasure at the collaboration, praising Egypt’s promising investment climate and the government’s commitment to facilitating projects. He recognized the continuous support from the leaderships of both Qatar and Egypt as vital to the success of this partnership, which embodies the depth of bilateral relations.
This landmark project is expected to boost the region’s standing as a hub for green industries and foster sustainable development in line with Egypt’s national vision.