African Energy Week (AEW) 2024: Angola to Make Final Investment Decision (FID) on First Green Hydrogen Project by 2025

The final investment decision for Angola’s inaugural green hydrogen project, a 600 MW development spearheaded by Sonangol in partnership with CWP, Gauff Engineering and Conjuncta, is set for 2025 Vladimir Machado, R&D CEO of Angola’s national oil company Sonangol said at Africa Energy Week: Invest in African Energies 2024.

The initiative aims to produce 400,000 tons of green hydrogen annually, with production anticipated to begin in 2027.

Speaking during a session titled Green Hydrogen Catalyst for Africa’s Industrialization, he emphasized Angola’s vast potential in the green hydrogen market. “Due to its existing energy infrastructure, such as refineries, ports and other projects like the Lobito Corridor, Angola has the potential to become a large green hydrogen exporter,” Machado stated.

The project includes plans for a demonstration plant, which will serve as a training ground for future engineers. Highlighting green hydrogen’s critical role in transitioning to a carbon-free economy, Machado explained its advantages: “Green hydrogen has direct applications in industry and serves as an excellent means for energy storage, especially to support periods of high energy demand.”

Machado also addressed the anticipated surge in global hydrogen demand. “Between 2030 and 2050, the annual expected growth in demand for green hydrogen will be between 5 and 30 million tons per year,” he noted. He underscored that while hydrogen currently serves as feedstock in chemical and refining sectors, high-energy-demanding industries like steel, aviation, and textiles will progressively shift toward green hydrogen.

Machado pointed to global trends, such as the European Union’s ambitious green hydrogen targets and Germany’s H2Global program, as opportunities for Africa to secure a leading position in the value chain. “Africa will have opportunities to dominate the value chain of green hydrogen,” he affirmed.

Distributed by APO Group on behalf of African Energy Chamber.