Hydrogen from Namibia

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Dauerthal/Windhoek, Hyphen Hydrogen Energy has been announced as the preferred bidder for the implementation of a green hydrogen production project in the Tsau Khaeb National Park. The US$9.4 billion project is expected to produce 300,000 tonnes of green hydrogen or its derivatives, such as green ammonia, annually for regional and global markets.

“As part of the Hyphen consortium, we congratulate the project team on this extraordinary success,” said Dr Gunar Hering, Enertrag board member. “We look forward to working with the Namibian government and contributing our extensive expertise along the entire hydrogen value chain in the first gigawatt-scale project in southern Africa.” 

The Namibian government’s announcement followed a tender process. Following a feasibility study and final approval through all legal procedures, Hyphen will be granted the right to implement the vertically integrated project and operate it for a period of 40 years.

In the first phase of the project, the renewable energy plants with a capacity of 2 gigawatts and the corresponding plants for seawater desalination, the production of green hydrogen as well as green ammonia will be developed and an export-oriented port facility will be built. The first stage of the project has an investment of US$4.4 billion and is expected to be operational in 2026. By the end of this decade, a renewable generation capacity consisting of wind and PV plants with 5 gigawatts and 3 gigawatts of electrolysis capacity will be built. This results in a total investment of 9.4 billion US dollars.

The Tsau Khaeb National Park is one of the world’s best locations for the cost-effective production of hydrogen due to ideal conditions for wind power and photovoltaics. In addition, the region benefits from its proximity to the coast and can become a regional energy hub with the help of the land export routes of the Southern Corridor Initiative. The visionary, investment-friendly government under President Hage Geingob also makes Namibia an ideal location. Not least because of this, the country already occupies a leading position in efforts to produce hydrogen from renewable energies.

“It is particularly important for the consortium that the sustainability concept is not limited to the form of generation: the project will create almost 15,000 direct jobs during the construction phases, which will last a total of four years, and will make a significant contribution to the regional economy,” says Dr Tobias Bischof-Niemz, Division Manager New Energy Solutions at Enertrag and Director of Hyphen Hydrogen Energy Ltd. “During the operation phase, 3,000 permanent jobs will also be created, 90% of which are expected to be filled by local workers.”

In addition, Namibia will benefit through concession and royalty fees, as well as a contribution to be made to the sovereign wealth fund and an environmental levy.

Press release from Enertag


Matthias Philippi – Press and Public Relations Officer

Phone: +49 39854 6459 748 – matthias.philippi@enertrag.com

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