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Hyphen Hydrogen Energy. Namibia – update

Artist's impression of the Hyphen electrolysers

Photo by Hyphen Hydrogen Energy

29th March 2024

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

     

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Name of the Project
Hyphen Hydrogen Energy.

Location
Tsau//Khaeb National Park, near Luderitz, in Namibia.

Project Owner/s
Hyphen Hydrogen Energy is a joint venture between Nicholas Holdings Limited and ENERTRAG, but the Namibian government confirmed in June that it would take up a 24% equity stake in the project.

Project Description
The development of Namibia’s first large-scale, vertically integrated green hydrogen project will be completed in phases.

Phase 1 will create 3.5 GW of renewable electricity generation capacity to produce green hydrogen for conversion into green ammonia. This phase aims to produce 175 000 t/y of green hydrogen, to be further processed into one-million tonnes a year of green ammonia for export to Europe.

After Phase 2, the project will have solar and wind electricity generation capacity of 7 GW, and electrolysis of 3 GW, which will yield about 350 000 t/y of hydrogen, subsequently translating into two-million tons of green ammonia.

The project is expected to reduce carbon dioxide emissions from five- to six-million tonnes a year.

Potential Job Creation
About 15 000 construction jobs will be created during the four-year construction period, with an estimated 3 000 permanent jobs being created once the project is fully developed. More than 90% of these jobs are expected to be filled by Namibians.

Capital Expenditure
$10-billion.

Planned Start/End Date
Following the conclusion of the necessary contractual arrangements with government, Hyphen will complete all necessary feasibility, engineering and permitting processes to allow for construction to start in January 2025, with commissioning of the first phase by the end of 2026.

Hyphen is targeting yearly production of one-million tonnes of green ammonia by 2027, with plans to increase yearly production to two-million tonnes by 2029.

Latest Developments
The project has received a major boost from the German government presenting a letter of intent to Enertrag, confirming the suitability of the project to be designated as a strategic foreign project. This makes projects eligible to receive targeted support ­– a status reserved for high-priority global projects of strategic interest to Germany.

ILF will provide Hyphen with project management services, technical expertise, procurement and contract advice, as well as implementation expertise on the project’s socioeconomic development goals, including the creation of 15 000 construction jobs, 3 000 permanent jobs and 30% local procurement.

ILF’s hydrogen experience is expected to support the meeting of project timelines, as well as Namibia’s development objectives.

Key Contracts, Suppliers and Consultants
ILF (services, technical expertise, as well as procurement, contract advice and socioeconomic development goals).

Contact Details for Project Information
Hyphen Energy, email info@hyphenafrica.com.

 

Edited by Creamer Media Reporter

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