The government of Namibia has greenlit the signing of a Feasibility and Implementation Agreement (FIA) for a USD-10-billion (EUR 9.2bn) green hydrogen project with Hyphen Hydrogen Energy (Pty) Ltd in a move that enables it to co-invest in the huge development.
The agreement will be officially signed on May 26, Hyphen Energy said on Wednesday. The company, a joint venture of Nicholas Holdings Ltd and Germany’s Enertrag SE, was selected in 2021 as the preferred bidder to develop and operate the project in the Tsau //Khaeb national park.
According to the statement, the government has the option to take an equity interest of up to 24% during the preliminary FIA phase, which will last up to six months. Once this phase ends, Hyphen will undertake a two-year feasibility study.
Under the FIA’s terms, Hyphen will take care of the technical, financial, environmental, social and commercial aspects of the project. The government, on its part, will provide land and will facilitate the legal, fiscal and regulatory environment so that the scheme can be realised.
More: Namibia approves feasibility deal for USD-10bn green H2 project