Coega green ammonia project, South Africa – update

17th May 2024 By: Sheila Barradas - Creamer Media Research Coordinator & Senior Deputy Editor

Coega green ammonia project, South Africa – update

Name of the Project
Coega green ammonia project.

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 900 000 t/y, 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 load shedding.

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

Capital Expenditure

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

Latest Developments
A group led by Japanese trading house Itochu Corp is nearing an agreement to buy green ammonia from Hive Hydrogen South Africa.

While the signing of the pact with Itochu and other trading houses focused on Japan and South Korea is “not there yet,” the parties know what “the offtake agreement will look like,” Hive Hydrogen CEO Colin Loubser has said. The other participants in the group have not been identified, citing confidentiality.

Securing an offtake agreement – few of which have been signed in the nascent green hydrogen industry – improves the viability of projects and makes them more attractive to financiers and investors.

A spokesperson from Itochu has said that discussions about an offtake agreement are still ongoing.

Such an agreement would boost the prospects of the megaproject and would put it ahead of a host of other plans to produce the green fuel in Southern Africa, using the region’s abundant renewable power resources and adding impetus to the plans of Namibia and South Africa’s governments to develop the industry.

Key Contracts, Suppliers and Consultants
Genesis (wind generation).

Contact Details for Project Information
Hive Energy, tel +44 1794 324 343 or email