Cepsa and Sonatrach Sign MOU for Green Hydrogen Project in Algeria
Key Ideas
- Cepsa and Sonatrach signed an MOU for a green hydrogen project in Algeria aimed at the European market.
- The project includes phases for feasibility studies and development, with a focus on decarbonization objectives.
- It involves the construction of hydrogen production, solar, and wind plants, as well as methanol and green ammonia production.
Cepsa and Sonatrach have entered into a memorandum of understanding (MOU) to collaborate on a green hydrogen project in Algeria, with a primary goal of supplying the European market. The signing ceremony, held at the Oran Convention Center, was attended by key officials including the Minister of Energy and Mines and CEOs of Sonatrach, Sonelgaz, and Cepsa. The MOU outlines a two-phase approach, with the first phase focusing on feasibility studies for the project's viability and profitability, while the second phase will involve project development. The integrated project aims to support the decarbonization efforts of both companies by establishing an electrolysis hydrogen production plant, along with solar and wind plants to provide renewable energy to the electrolyzers. Additionally, the project will include facilities for methanol and/or green ammonia production, as well as storage, transportation, and other necessary infrastructure for commercial activities. This partnership signifies a significant step towards sustainable energy production and aligns with the global shift towards cleaner energy sources.