Argus Media Limited

11/08/2022 | News release | Distributed by Public on 11/08/2022 12:25

Cop 27: FFI to produce green H2, ammonia in Kenya

Australian hydrogen project developer Fortescue Future Industries (FFI) plans to set up a plant for green ammonia and fertilizer production in Kenya and seeks to eventually export up to 1.7mn t/yr of renewable hydrogen from the country.

The firm signed a binding framework agreement with the Kenyan government for the initial green ammonia project on the sidelines of the Cop 27 UN climate conference in Sharm el-Sheikh, Egypt. FFI plans to take a final investment decision on the plant - which is to have a capacity of 300MW - by 2023, with a view to bringing it on line by 2025. The facility will be located close to the Olkaria geothermal field, suggesting that its electrolyser could be fed by geothermal energy.

FFI "aims to provide affordable green fertilizer to the domestic market and address food security, while also negating the need for importing equivalent amounts of fertilizer", the firm said.

The agreement with the Kenyan government also entails "feasibility studies for two further projects that could scale up renewable electricity generation for green industries by up to 25GW", FFI said. These projects "could ultimately produce up to 1.7mn t/yr of green hydrogen for export", the company added.

FFI's longer-term plans may be what Kenyan president William Ruto referred to in a speech at the Cop summit earlier today when he announced that the country had signed a "framework agreement" with an undisclosed investor "to produce 30GW of green hydrogen".

Kazakh agreement

FFI separately announced today that it has signed a framework agreement with the government of Kazakhstan to explore the potential for renewable power generation and green hydrogen production projects in the country.

Kazakhstan's "significant wind and solar energy capacity" could provide fertile ground for projects, FFI said.

Yesterday the EU inked a deal with Kazakhstan for co-operation on hydrogen projects as it eyes future supply from the country. German renewables developer Svevind intends to build a 20GW renewable hydrogen project - one of the largest planned globally - in Kazakhstan's Mangystau region, aiming for commissioning in 2032.

By Stefan Krümpelmann