[Economics] Morocco Seeks to Finance Mega Hydrogen Projects for Export to Europe

[Profesoruツ]

Rabat - Morocco is deliberating over the prospect of partnering with Asia’s wealthiest person Gautam Adani on a massive hydrogen project. 

Morocco is studying the possibility of sealing an investment deal for two industrial projects in 2023, according to a report from business-focused media Bloomberg.

In an interview this weekend with Bloomberg, Morocco’s  Energy Transition Minister Leila Benali said that Indian private conglomerate Adani Group is among the firms interested in the Moroccan hydrogen proposition, confirming previous reports.

While Morocco is already a major green energy producer compared to its peers, the country continues to attract investors looking to produce cost-efficient green energy and export it to the European Union leveraging Morocco’s geographical proximity to the bloc. 

The EU is turning into a ripe market for green energy as it looks to diversify its energy supply chain away from Russia.

“With Adani, we had some specific discussions and they came up with some very good ideas that we are looking at because they are aligned with the Moroccan vision on some specific aspects,” Benali told Bloomberg.

In addition to producing green hydrogen for export, Morocco has much to gain from producing the fuel for domestic use. Green hydrogen could solve Morocco’s dependency on ammonia imports amid the ongoing supply crisis. The country is a major ammonia importer given its large fertilizer industry. 

The production of ammonia is an energy-intensive process that requires gas; hydrogen can be used to substitute gas. 

Over the weekend, Morocco’s fertilizer giant OCP announced that it is set to accelerate investment in green hydrogen as part of a $13 billion plan to reduce the company’s dependency on ammonia imports.

Link: https://www.moroccoworldnews.com/2022/12/352855/morocco-seeks-to-finance-mega-hydrogen-projects-for-export-to-europe