Masdar Signs Agreement on Developing Emission Reductions with Egyptian Sugar Company

• Egyptian Sugar and Integrated Industries Company reduces 57,200 tons of CO2 per year for 10 years
• Agreement will generates major revenue for both companies

Abu Dhabi, United Arab Emirates, Cairo, Egypt, 21 January 2009 (ME NewsWire): Masdar, a wholly-owned subsidiary of the Mubadala Development Company, today announced it signed an agreement with the Egyptian Sugar and Integrated Industries Company (ESIIC) to develop a fuel-switch project under the guidelines of the Kyoto Protocol’s Clean Development Mechanism (CDM).

The project, in which ESIIC will invest over 40million Egyptian Pounds ($7.5m), will replace the company’s consumption of mazut fuel oil with natural gas and is expected to reduce carbon emissions by an equivalent of 57,200 tons of carbon dioxide (CO₂) per year for a period of ten years.

Masdar will monetise the emission reductions and provide advisory services required to register the project at the United Nations in line with the requirements of the Kyoto Protocol’s clean development mechanism (CDM). Masdar will support the project execution in coordination with ESIIC and purchase the resulting carbon credits, thereby providing financial incentives for the development of the project.

Commenting on the agreement, Hassan Kamel Hassan Noman, CEO of ESIIC said: “This agreement marks an important milestone for ESIIC and we are proud to be paving the way within the sugar industry to develop a fuel-switch under the guidelines of the Kyoto Protocol’s Clean Development Mechanism (CDM). Through the cooperation with Masdar we aim to significantly reduce our emissions targets over the next ten years, and alleviate the negative impact that they are having on the environment”.

“This is our first CDM project in Egypt and we look forward to supporting ESIIC in its quest to reduce its carbon emissions. We hope this agreement will act as a catalyst for other organisations to explore the financial and environmental benefits that CDM can offer. This project reinforces Masdar’s commitment to promote energy efficiency and sustainability in the region” added Sam Nader, Director of Masdar Carbon.

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Source: ME NewsWire
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About ESIIC:

The Egyptian Sugar & Integrated Industries Co. (ESIIC) is a public sector Co. owned by Egyptian government. ESIIC is considered as one of the largest industrial entities in the Middle East, and owns more than 20 plants for production of sugar and other related products such as:

Ethanol, vinegar, glacial acetic acid, fodder yeast, carbon dioxide, thinners (solvents), acetone, butyl acetate, athyle acetate, pivicol, oxygen, perfumes, flavors, paper, particle board, MDF, cattle feed…etc. The total assets of ESIIC is more than 1.5 billion USD, the total operating revenues is more than 800 million USD and more than 20,000 employees.

Also ESIIC have a great experience in design and execute complete plants for sugar and food industries.

ESIIC intend to transfer all its factories in Upper Egypt to work with N.G instead of heavy fuel oil within 3 years to reduce the emission of CO2 to participate in keep environment clean according to Kyoto protocol’s.

About Masdar

Masdar is Abu Dhabi’s multi-faceted initiative advancing the development, commercialisation and deployment of renewable and alternative energy technologies and solutions. Masdar is driven by the Abu Dhabi Future Energy Company (ADFEC), a wholly owned company of the government of Abu Dhabi through the Mubadala Development Company. For more information about the Masdar Initiative, please visit: www.masdaruae.com

For Masdar media enquires please contact:
Kaja Weller
Hill & Knowlton
00971 50 885 9560
kaja.weller@hillandknowlton.com