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Coega green ammonia project, South Africa – update

Image of ammonia formula

24th May 2024

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

     

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Name of the Project
Coega green ammonia project.

Location
Coega Special Economic Zone, alongside the Port of Ngqura, in Gqeberha, in South Africa’s Eastern Cape province.

Project Owner/s
Hive Hydrogen South Africa and BuiltAfrica.

Project Description
The project aims to establish a green ammonia plant producing more than one-million tonnes a year, with its own dedicated power supply, for export to Japan, Korea and Europe.

A total of 3 480 MW power will be generated to supply the plant. The project development will also enable other independent power producers in the Beaufort West area to connect their power generation assets to the grid, which will reduce loadshedding.

Potential Job Creation
The project will create more than 20 000 jobs.

Capital Expenditure
$5.8-billion (R105-billion).

Planned Start/End Date
Hive Hydrogen may start output of green ammonia from the new facility in 2029.

Latest Developments
The project has taken another major step forward, announcing successful environmental-impact assessment records of decision for the $750-million/R14-billion, 1 230 MW Crossroads Green Energy cluster on May 22, 2024. The solar project was developed on time and on budget.

The big Crossroads Green Energy solar project has been underpinned by a cluster of nine solar projects in the very high solar-yielding area of De Aar.

The project is the development of a consortium comprising Hive Hydrogen, Akuo Energy Afrique, Africoast Investments and Golden Sunshine Trading, which has been working towards this milestone for the past two years. This follows Hive Hydrogen’s signing an agreement earlier this year with Genesis Eco-Energy to implement 372 MW of wind power, in the Western Cape, also in support of the green hydrogen, green ammonia project at Coega.

Africoast, Golden Sunshine Trading and Akuo Energy are co-developing a 6 000 MW pipeline of solar energy and wind energy projects for the Coega green ammonia projects.

The Crossroads Green Energy cluster is being developed for Phase 1 of the Coega green ammonia project while the remaining projects are moving through a phased development to meet the future demand in Coega and other potential offtakes.

Key Contracts, Suppliers and Consultants
Genesis Eco-Energy (wind generation) and Hive Hydrogen, Akuo Energy Afrique, Africoast Investments and Golden Sunshine Trading (Crossroads Green Energy cluster).

Contact Details for Project Information
Hive Energy, tel +44 1794 324 343 or email info@hiveenergy.co.uk.

Edited by Creamer Media Reporter

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