European Companies Collaborate on Green Hydrogen Production in North Africa
Key Ideas
  • Six European companies have signed a Memorandum of Understanding (MoU) to assess the feasibility of establishing a large-scale green hydrogen production facility in Algeria.
  • The partnership aims to create a green hydrogen production plant in Algeria and export the hydrogen to Italy, Austria, and Germany through the SoutH2 corridor.
  • The SoutH2 Corridor Project plans to build a 3,300-kilometer hydrogen pipeline by 2030, with an import capacity exceeding four million tonnes per annum, enhancing European energy security.
  • Multiple hydrogen pipeline projects have been proposed under the EU Commission's Project of Common Interest, signaling a shift towards renewable hydrogen imports and international energy collaboration.
Six European companies, including VNG (Germany), Sonatrech, Sonelgaz (Algeria), Snam, Sea Corridor (Italy), and Verbund (Austria), have joined forces to explore the feasibility of establishing a large-scale green hydrogen production facility in Algeria. The companies formalized their partnership by signing a Memorandum of Understanding (MoU) in Oran, Algeria, on October 14. This collaboration aims to leverage Algeria's significant potential for green hydrogen production and diversify the supply portfolio for European nations. The proposed green hydrogen production plant will be pivotal in enhancing future energy security with decarbonized gases. The SoutH2 Corridor Project, which includes a 3,300-kilometer hydrogen pipeline, is expected to link North Africa to Europe and facilitate the import of renewable hydrogen to meet the growing demand. This initiative underscores the importance of international energy collaboration and the shift towards sustainable energy sources. Additionally, the submission of various hydrogen pipeline projects under the EU Commission's Project of Common Interest highlights the strategic focus on renewable hydrogen and the development of essential infrastructure for future energy needs.
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