Hyphen selected to build USD-9.4bn green hydrogen complex in Namibia

The government of Namibia intends to appoint Hyphen Hydrogen Energy (Pty) Ltd as the preferred bidder to develop a USD-9.4-billion (EUR 8.1bn) large-scale vertically integrated green hydrogen project in the Tsau //Khaeb national park.

The state has issued a notice of award to Hyphen following a competitive tender process, it was announced on Thursday. Once the mandatory legislative processes are concluded and all necessary agreements have been signed, Hyphen will have the right to build and operate the complex for a period of 40 years.

The overall plan is to construct a facility that can produce some 300,000 tonnes of green hydrogen annually for regional and global markets.

Hyphen’s CEO Marco Raffinetti stated that the first phase of the project envisages the deployment of renewable energy plants totalling 2 GW, the output of which will be used to produce green hydrogen for conversion into green ammonia. The total capital cost of this phase is estimated at USD 4.4 billion and it is planned to be completed in 2026.

"Further expansion phases in the late 2020s will expand combined renewable generation capacity to 5 GW and 3 GW of electrolyser capacity, increasing the combined total investment to USD 9.4 billion," Raffinetti added.

"This is a milestone project that will enable the country to create on average 15,000 direct jobs over the four years of combined construction and 3,000 permanent direct jobs over the 40 year operational period, while contributing to other efforts to stimulate economic recovery," said Nangula Uaandja, CEO of the Namibian Investment Promotion and Development Board.

(USD 1.0 = EUR 0.865)

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