WINDHOEK, Oct. 27 — In a groundbreaking collaboration, Hyphen Hydrogen Energy and the Development Bank of Southern Africa (DBSA) have joined forces to create a funding facility dedicated to advancing the development of Hyphen’s ambitious green hydrogen project in Namibia.
This partnership marks a significant milestone in the journey towards sustainable energy solutions, underscoring the commitment of both organizations to making a lasting impact on the green energy landscape. The Project Preparation Facility from DBSA is poised to play a pivotal role in advancing various aspects of the project, including engineering, environmental, and socio-economic development workstreams, crucial steps leading up to the final investment decision.
The scope of this endeavour is nothing short of impressive, with a total project capital investment reaching a remarkable $10 billion, an amount roughly equivalent to Namibia’s annual Gross Domestic Product (GDP). This colossal investment signifies the scale and importance of the project in the pursuit of sustainable and environmentally friendly energy production.
Upon reaching full-scale development, anticipated before the end of this decade, the green hydrogen project promises to deliver an annual production capacity of 2 million tons of green ammonia. This ammonia will be destined for regional and global markets, representing a significant stride in meeting the world’s increasing demand for clean and renewable energy sources. Furthermore, it envisions employing a substantial workforce of 15,000 individuals during the construction phase, with 3,000 permanent employees once the project is fully operational.
Marco Raffinetti, CEO of Hyphen Hydrogen Energy, expressed his enthusiasm for the project’s potential impact on the Southern Africa region and the global green hydrogen race. He emphasized the critical role of the region in leveraging its renewable resources and contributing to the financing of the global energy transition. Raffinetti also commended the DBSA’s unwavering belief in the Hyphen project, highlighting the organizations’ shared commitment to delivering sustainable and responsible energy solutions.
Notably, Hyphen Hydrogen Energy, a joint venture between Nicholas Holdings Limited and ENERTRAG SE, was appointed by the Namibian government as the preferred bidder to develop the country’s first green hydrogen project for export. This designation underscores the government’s recognition of the pivotal role green hydrogen plays in shaping a cleaner and more sustainable future.
One potential destination for the Namibian-produced ammonia is a terminal for green ammonia in Brunsbüttel, Germany. This terminal, spearheaded by RWE, is set to be completed by 2026, further illustrating the global reach and significance of the project.
In addition to the collaboration with the DBSA, Hyphen Hydrogen Energy has taken a proactive step in ensuring the project’s success by signing a partnership agreement with ILF Consulting Engineers. Under this agreement, ILF will provide essential project management services and technical expertise to drive the Hyphen project in Namibia. Furthermore, it will offer valuable procurement and contract advice, ensuring the project remains on a path of success. ILF’s expertise extends to supporting Hyphen’s socio-economic development goals, emphasizing the project’s commitment to fostering positive change within the community.
In conclusion, the partnership between Hyphen Hydrogen Energy and the DBSA, along with the collaboration with ILF Consulting Engineers, underscores the commitment to advancing sustainable energy solutions and bringing about a significant shift in the green energy landscape. The Namibian green hydrogen project is not just a local endeavor but a testament to global efforts to harness the power of green hydrogen in a cleaner and more sustainable future.