Morocco outlines plans for new green ammonia project
Plans for a new green ammonia project in Morocco have been revealed, with production estimated to reach 183,000 t/yr by 2026. Trading firm Vitol has signed a memorandum of understanding (MOU) to manage offtake from the site.
The Hevo Ammonia Morocco project is being developed by Ireland-based green hydrogen technology company Fusion Fuel and Middle East construction company Consolidated Contractors. The location of the facility has not yet been finalised, but it is expected to be in the vicinity of Jorf Lasfar, Essaouira or Agadir, Fusion Fuel said.
The project would be Morocco's largest green ammonia and green hydrogen project, with an estimated total investment value of around $850mn. Development of the first phase is expected to begin in 2022 following the completion of a feasibility study. When fully commissioned, the project is expected to produce 183,000 t/yr of green ammonia and abate 280,000 t/yr of CO2.
Fusion Fuel expects to supply the technology to produce the 31,000 t/yr of green hydrogen that the project will need.
Morocco is exploring the potential for green ammonia production to ease its reliance on imported grey ammonia for phosphate production. It imports about 1.8mn t/yr of grey ammonia into Jorf Lasfar. But the country is also working towards becoming an exporter of ammonia if these projects come to fruition, with Vitol expected to market green ammonia from the Hevo project into Europe and other nearby markets.
"The ability to use our abundant solar and wind resources to produce carbon-free, green ammonia presents a strategic opportunity for Morocco to play a leading role in the decarbonised global economy," minister of energy, mines and environment Aziz Rabbah said. "We believe this ambitious project will be the cornerstone of Morocco's hydrogen strategy and will establish Morocco as a major exporter of ammonia to international markets."
Related news posts
US House panel advances waterways’ projects bill
US House panel advances waterways’ projects bill
Houston, 27 June (Argus) — A Congressional committee on Wednesday advanced a bill to authorize a bundle of US port and river infrastructure projects for the US Army Corps of Engineers (Corps). The Water Resources Development Act (WRDA) biennially authorizes projects handled by the Corps' civil works program aimed at improving shipping operations at the nation's ports and harbors, and along the inland waterway system. The traditionally bipartisan legislation also approves flood and storm programs, and work on other aspects of water resources infrastructure. The House of Representatives' Transportation and Infrastructure Committee on Wednesday passed the bill by a 61-2 vote. The Senate Committee on Environmental and Public Works passed its own version of the bill on 22 May by a 19-0 vote. Neither the full Senate nor House have yet voted on the bills, which will need a conference committee to sort out different versions. A key difference is that the House bill did not include an adjustment to the cost-sharing structure for lock and dam construction and major rehabilitation projects. The Senate measure adjusted the funding mechanism so that 75pc of costs would be paid for by the US Treasury Department's general fund, with the rest coming from the Inland Waterways Trust Fund. The 2022 version of the bill made permanent an increase to 65pc from the general fund and 35pc from the trust fund, which is funded by a barge diesel fuel tax. The House committee's decision not to include the funding change drew disappointment from shipping interests. The Waterways Council was "disappointed that the House did not include a provision to modernize the inland waterways system", but was hopeful that conference negotiations would result in its inclusion, Tracy Zea, chief executive of the group, said. The latest House version of the bill authorizes 12 projects and 160 new feasibility studies. Among the projects receiving approval were modifications to the Seagirt Loop Channel near the Baltimore Harbor in Maryland. The federal government would pay $47.9mn towards an estimate $63.9mn project to widen the channel, which would help meet future demand for capacity within the Port of Baltimore. That would include increased container volume at the Seagirt Marine Terminal. The project was in the works before the 26 March collapse of the Francis Scott Key Bridge temporarily diverted freight from Seagirt and many other port terminals. The committee also authorized $314.25mn towards a resiliency study of the Gulf Intracoastal Waterway. The study would consider hurricane and storm damage and identify ways to improve navigation, reduce the maintenance requirements, and provide resiliency. The waterway connects ports along the Gulf of Mexico from St Marks, Florida, to Brownsville, Texas. The House version of the bill also includes provisions to strengthen flood control, wastewater, and stormwater infrastructure. "Critically, WRDA 2024 will help communities increase resiliency in the face of climate change," representative Rick Larsen (D-WA) said. By Abby Caplan and Meghan Yoyotte Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Mexico to tap economist for energy minister
Mexico to tap economist for energy minister
Mexico City, 27 June (Argus) — Mexican president-elect Claudia Sheinbaum appointed economist and lawyer Luz Elena Gonzalez to become energy minister in her government that will take office on 1 October. Gonzalez has a long record in public service and served as finance director of the Mexico City government during Sheinbaum's tenure as the capital's mayor from 2018-2024. She has no direct energy industry experience. Sheinbaum won a convincing victory in the 2 June presidential elections and will take office on 1 October when Morena political party founder and current president Andres Manuel Lopez Obrador ends his six-year term. Gonzalez will face a range of challenges as energy minister including completion of the long-delayed Olmeca refinery, development of a plan to tackle state-owned Pemex's enormous debt, expansion of Mexico's electricity generation and grid capacity with a renewed focus on clean energy and the construction of natural gas storage. She will also be in charge of policy decisions that will define the role of private-sector investors in the energy sector. Gonzalez will replace Miguel Angel Maciel, appointed following energy minister Rocio Nahle's resignation in October 2023 to pursue the Veracruz gubernatorial election. Nahle, who took office as energy minister in 2018, led efforts to build the Olmeca refinery and has been a strident supporter of Lopez Obrador's energy sovereignty policy that has sought to restrict private-sector investment. Sheinbaum also appointed Jesus Esteva as transport minister, Raquel Buenrostro as civil service minister, David Kershenobich as health minister and Edna Elena Vega as urban and rural development minister. All of the candidates appointed today have either worked with Sheinbaum during her period as Mexico City mayor or in Lopez Obrador's government. By Rebecca Conan Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Eurogas disappointed in hydrogen target scaling back
Eurogas disappointed in hydrogen target scaling back
Brussels, 25 June (Argus) — New Eurogas president and Eni's director for global gas and LNG Cristian Signoretto told Argus of his disappointment in an apparent scaling back in EU renewable hydrogen production targets, but said that he remains confident that a cheaper pathway exists for the fuel. He called for a technologically neutral approach while demand shifts to decarbonised gas over the long term. Do you see decarbonisation shifting to a slower pace over the next few years? We have clear decarbonisation targets for 2050. This continues to be a challenge that the gas industry wants to meet. And if you look at delivering security of supply and affordable energy, then you end up with a system that needs molecules. Gas is obviously part of that solution. What do you think about the apparent scaling back in the EU's 2040 impact assessment of the EU's 10mn t/yr of renewable hydrogen imports by 2030? We are a little disappointed, but there is still a lot of work to be done on the EU's 2040 targets. We are working on our own analysis and study setting out the best way to get to the 2040 overall decarbonisation targets. We are confident it will show a cheaper and more resilient pathway to reach those targets with the help of gas molecules. What are your key asks when the EU implements revised gas and hydrogen laws? For the gas and hydrogen package, we are focusing on several themes such as the implementation of the methane regulation. Methane has a major impact for climate change. We need to cover methane in exporting and producing countries and also in transmission and distribution. Another theme is ensuring definitions of low carbon gases and green gases are standardised as much as possible. We believe in a technology neutral approach to decarbonisation. It is not for policymakers to choose winners. Can the EU do more to help wean central and eastern European countries off Russian gas? Flows have to change to phase-out Russian gas. Transmission system operators (TSOs) have already done a lot, but there are still bottlenecks on networks. Flows will change further if Ukrainian transit is phased out at the end of this year. But Europe needs to avoid regulatory barriers, such as the German storage tariffs on gas moving through to other EU countries. On the whole, energy markets and systems have been fairly successful in overcoming the Russian crisis, in particular revising the European gas grid over 18 months to ensure gas flows are now no longer going only east to west. Another positive sign is that gas prices are very much aligned within Europe in a clear sign that the single market for gas is functioning, apparently more so than the European power market, as evidenced by the strong differentials among national markets. Is imposing an EU methane intensity limit in 2030 not a risk for energy security? Gas is a global business. We need to import gas. But Europe also wants gas imports that follow certain standards. There has to be correct timing and proper engagement between the EU and producing countries and we need to make sure other countries follow suit with Europe's decarbonisation target. We cannot solve all the issues on our own early on while we wait for climate leadership to possibly become a competitive advantage for Europe in the future. Are 2030 climate and energy goals set in stone if China, India, and others do not make equivalent efforts? European competitiveness is a very important issue, up there with defence, energy and climate change. It is not about backing down. But all other polluting countries need to be tackling climate change. Otherwise Europe runs the risk of finding itself isolated and not solving the climate issue alone. Would a more flexible approach to CO2-neutral fuels used in internal combustion engines maintain a pathway for gas in transport? An electric vehicle or an internal combustion engine vehicle with low carbon gas or low carbon fuel should be treated in the same way. We should take a technologically neutral approach as long as CO2 emissions are equivalent. Major shipowners are investing heavily in dual-fuel engines to also run on LNG. From a technology perspective, LNG is a route to decarbonisation in the short term. It is also a cheaper option today and will become decarbonised gas in the long term. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Global e-methanol capacity plans exceed 10mn t/yr
Global e-methanol capacity plans exceed 10mn t/yr
Hamburg, 24 June (Argus) — Global e-methanol production capacity plans have increased to over 10mn t/yr after proposals for new plants were announced earlier this month in China, Spain and Brazil. The combined capacity of operational and planned projects has reached 10.4mn t/yr, Argus data show , up by around 1mn t/yr from the start of this year . The majority of this is in the early stages and most projects are still a long way from commissioning. Only around 216,000 t/yr of capacity is operational, almost all of which is in China. Another 708,000 t/yr is under construction or has reached a final investment decision. China also makes up the bulk of this capacity. Most of the announced capacity is slated to come online later this decade, although not all facilities have a set start-up year. Europe accounts for over half of the announced capacity, with plans for 5.5mn t/yr. Spain and Denmark are the leading countries on the continent. Asia-Pacific comes in second, with 2.6mn t/yr of planned capacity. China accounts for the majority of this, but there are also plans for several facilities in India. The project pipeline rose above the 10mn t/yr mark after several recent announcements. A consortium of three companies announced plans for a 200,000 t/yr project in China , while Spanish developer HyFive said it wants to build a 100,000 t/yr site in Asturias and French firm Arhyze is looking to set up a same-sized facility in the Brazilian port of Suape . By Stefan Krumpelmann Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Business intelligence reports
Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.
Learn more