Updates from Morocco: renewable ammonia value chain expansion

TE H2, CIP & A.P. Møller: large-scale renewable ammonia production

TE H2, a joint venture between TotalEnergies and the EREN Group, will partner with Copenhagen Infrastructure Partners (CIP) and A.P. Møller Capital to develop a large-scale renewable energy & renewable hydrogen project in Morocco. The parties have signed a preliminary land reservation contract for the ‘Chbika’ project in the Guelmim-Oued Noun region near the Atlantic coast, which will allow them to commence pre-FEED.

The ‘Chbika’ project aims to build 1 GW of onshore solar and wind energy to power hydrogen production through desalinated seawater electrolysis. The hydrogen will feed into the production of about 200,000 tons per year of renewable ammonia for export to Europe. This will form phase one of a development program aimed at creating a world-scale renewable hydrogen production hub. In this project, TE H2 and CIP will develop the renewable energy, hydrogen and ammonia, while A.P. Møller Capital will focus on port infrastructure development.

Thanks to its geographical proximity and the quality of its wind and solar resources, Morocco indeed has the best assets to become a major partner for Europe in achieving the goals of the Green Deal, and TotalEnergies aims to contribute to this ambition.

Patrick Pouyanné, Chairman and CEO of TotalEnergies, in his organisation’s official press release, 28 October 2024

The signing of this Preliminary Contract for Land Reservation is a decisive first step for the launch of our investment program in Morocco…The Kingdom has the potential to supply affordable and clean energy to Europe while serving its own decarbonized industrial development. Our consortium is strong, our overall Moroccan plan is very ambitious, and I look forward to reinforcing further our collaboration with local authorities and stakeholders and pursuing the work on this promising project.

David Corchia, CEO of TE H2, in Total Energies’ official press release, 28 October 2024

Developing competitive transport infrastructure is part of what we do and a fundamental part of green hydrogen value chains. We are looking forward to bringing this project forward in close collaboration with our strong consortium, Moroccan authorities and other stakeholders.

Kim Fejfer, CEO of A.P. Møller Capital, in Total Energies’ official press release, 28 October 2024

OCP & ENGIE: integrated renewable hydrogen & ammonia development

OCP Group and ENGIE have signed a Joint Development Agreement to launch a platform of energy transition projects in Morocco. The four key focus areas include the development of renewable energy capacity and associated storage solutions, creation of associated electrical infrastructure, production of renewable ammonia and other hydrogen derivatives, and water desalination capacity for the agriculture sector. The platform will be supplemented by a Research & Innovation (R&I) agenda with the same focus. The two parties may also consider the creation of a joint venture as a vehicle to implement these projects.

Through this strategic alliance, we will continue to enhance OCP Group’s international competitiveness in renewable energy, contributing to a sustainable future for generations to come.

Mostafa Terrab, Chairman and CEO of OCP Group, in his organisation’s official press release, 28 October 2024

Together, we will drive the development of low-carbon energy solutions while strengthening Morocco’s industrial ecosystem. This collaboration will position our groups as key players in the decarbonization of Morocco and bolster ENGIE’s presence in the country.

Catherine MacGregor, CEO of ENGIE, in OCP’s official press release, 28 October 2024

OCP & Bpifrance: industrial decarbonisation and food security

OCP has also signed an MoU with Bpifrance and the French Development Agency (AFD) which will see the three parties focus on industrial decarbonisation and sustainable agriculture in Morocco. The partners will support, through financing, investment and guarantees, projects developed by OCP in conjunction with French companies in Morocco and elsewhere in Africa.

Also part of the partnership, Bpifrance and InnovX, a University Mohammed VI Polytechnic (UM6P) subsidiary, will create a €50M investment fund to support startups, SMEs, and mid-sized companies in Africa in agriculture, agri-food and renewable energy. Bpifrance and InnovX may also make investments in renewable hydrogen, carbon farming and water sustainability, which are aligned with OCP’s green investment strategy.

This project adds to UM6P’s increasing renewable ammonia research and development activity. In August 2022, we reported a partnership between the university and Proton Ventures to set up a 4 tonne-per-day renewable ammonia demonstration plant near OCP’s manufacturing site in Jorf Lasfar on Morocco’s Atlantic coast. Announced in April this year, OCP and Fortescue’s renewable hydrogen and ammonia development joint venture included plans to create a Research & Development hub near UM6P with a focus on renewable energy, hydrogen and mineral processing.

The signing of this memorandum strengthens the Franco-Moroccan bilateral partnership in two shared strategic areas: food security and the decarbonization of industrial sectors in Morocco and across Africa. By leveraging our respective areas of expertise with OCP Group, a major player in the region, we will be able to develop concrete programs addressing these strategic issues and benefiting our companies.

Isabelle Bébéar, Head of European and International Affairs at Bpifrance, in OCP’s official press release, 28 October 2024