European Energy Giants Partner with Algerian Groups for Green Hydrogen Production
Key Ideas
- VNG, Snam, SeaCorridor, and Verbund Green Hydrogen collaborate with Algerian groups for green hydrogen production.
- The SoutH2 Corridor project, a key initiative for hydrogen imports, aims to deliver 10 Mt of renewable hydrogen to the EU by 2030.
- The MoU focuses on studying the viability and profitability of producing green hydrogen in Algeria for export to Europe.
- The SoutH2 Corridor pipeline will connect North Africa to the European market, benefiting Italy, Austria, and Germany.
VNG from Germany, along with Snam and SeaCorridor from Italy and Verbund Green Hydrogen from Austria, have recently signed a Memorandum of Understanding (MoU) with Sonatrach and Sonelgaz, the Algerian energy groups. The purpose of this partnership is to jointly conduct studies to assess the feasibility and profitability of producing green hydrogen in Algeria. The green hydrogen, sourced from renewable energy, will then be exported to the European market through the proposed SoutH2 Corridor hydrogen pipeline project. This initiative is part of a larger plan to set up five major pipelines for hydrogen imports, with the aim of facilitating the import of 10 Mt of renewable hydrogen into the European Union by 2030.
The SoutH2 Corridor project, already designated as a Project of Common Interest (PCI), is strategically located to ensure the smooth flow of hydrogen imports from North Africa, particularly through southern Italy. Once imported, the hydrogen will be distributed to key demand centers in Italy, Austria, and Germany, contributing to the growth of the green hydrogen market in those regions. This collaboration marks a significant step towards enhancing the adoption of green hydrogen as a sustainable energy source on a larger scale, emphasizing the commitment of these energy giants towards decarbonization and renewable energy production.