A private partnership between the United Arab Emirates and Morocco intends to invest up to $25 billion in a green hydrogen and ammonia plant in the North African nation. The Moroccan government has previously given Dahamco permission to establish the project in the controversial Western Sahara’s Atlantic port of Dakhla.
The president of Dahamco Tom Hanson said in a statement released last week that the project’s first phase will cost about 40 billion Moroccan dirhams ($4.04 billion) and produce almost one million tonnes annually. “Dahamco has obtained land rights and the necessary local authorisations for its project well before the implementation of Morocco’s Offer for the development of green hydrogen in November 2022,” He continued.
He added that most of the land needed for the project was registered and that project clearances from the Regional Investment Centre (CRI) were issued in July 2022. He said, “Today, its design is fully finalised, its co-investors mobilised and its outlets have been clearly defined. We have therefore been ready to move forward for quite some time.”
According to Hanson, the Dahamco project will be developed in multiple phases. This will reduce the risks associated with a “too early” adoption and ensure that the company has a competitive average cost.
Hanson said, “If everything goes as the company’s top management wishes, the first phase of the project will be operational in 2031 and will have a production capacity of around 1 million tonnes per year. The following phases of the project should come into service at intervals of 4 to 5 years from the operation of the first.”
Keep Reading
Media stated on Saturday that the project would soon begin but it did not provide a particular debut date. Nearly $60 billion in energy projects are planned with over 90% of them covering green hydrogen and ammonia. A significant OCP Group, Phosphate producer in Morocco, Dahamco and Ornx Boujdour of Morocco, AP Moller Capital of Denmark and Taqa Morocco are the important investors.
