Egypt is advancing a $278M project to produce second-generation bioethanol from sugarcane bagasse, a byproduct of sugar production.
Supply and Internal Trade Minister Sherif Farouk reviewed the project’s progress with representatives from Proger and Drexel, according to a ministry statement. The initiative aims to turn agricultural waste into a higher-value product while reducing its environmental impact and associated carbon emissions.
The project follows a cooperation protocol signed with Proger Egypt in May 2023. Bagasse samples have since undergone technical testing, while a preliminary feasibility study is being updated ahead of a final assessment.
The state-owned Sugar and Integrated Industries Company is expected to provide the land and raw materials. It has also started preparing infrastructure, including natural gas connections and modifications to steam boiler burners.
Proger Egypt and Ecofuel, an Eni subsidiary, are considering a 10-year offtake agreement for the ethanol, with the option to increase volumes. The output is primarily intended for export to European markets, according to Drexel Project Manager Sherif Mohamed Ibrahim.
A proposed joint entity involving Sugar and Integrated Industries, Proger Egypt and Drexel would oversee the next development stage, including the final feasibility study, investor engagement and the project’s funding structure.
Source: Fast Company Middle East
