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RWE and Hyphen explore offtake of green ammonia from Namibia

RWE and Hyphen Hydrogen Energy have signed a MoU that could see RWE offtake up to 300,000 tpy of green ammonia from Namibia.

Hyphen was appointed preferred bidder by the Namibian government to develop the first green H2 project in Namibia for export. By 2027 the project aims to produce 1 MMtpy of green ammonia—a H2 derivative that is particularly suitable for transport by ship. German renewable energy project developer Enertrag is a joint venture partner of Hyphen.

RWE is committed to develop a globally diversified portfolio of long-term offtake agreements for green H2 and its derivatives, such as ammonia. In this context RWE has announced in March its plan to build a terminal for green ammonia in Brunsbüttel (Germany) by 2026. This terminal could serve as one port of destination for Namibian ammonia.

Marco Raffinetti, CEO of Hyphen Hydrogen Energy said, “We are delighted to reach this agreement with RWE. This milestone underpins our ambitious targets to export green hydrogen globally from Namibia. By establishing strong connections with policymakers and offtakers across Europe, we are working with the Government of Namibia to develop the industry which will spearhead southern Africa’s role in achieving regional and global decarbonization goals.”

Ulf Kerstin, Chief Commercial Officer of RWE Supply & Trading said, "Green molecules are the only way for many industries in Germany to achieve their climate targets. In the long term, Germany's demand for them will have to be met mainly through imports. That's why we're looking forward to progressing the offtake discussions with Hyphen - to bring green ammonia from Namibia to Germany."