Africa is accelerating its push into the green hydrogen economy, leveraging abundant solar and wind resources to drive large-scale production for industrial use and export. South Africa, Namibia and Mauritania are leading the charge, with multiple projects moving from planning toward commercial deployment. Analysts estimate the continent could produce up to 50 million tons of low-carbon hydrogen annually by 2035, responding to growing demand in transport, industry and global energy markets.
South Africa: Scaling Green Ammonia
South Africa is advancing several flagship initiatives. The Coega Green Ammonia Project near Nelson Mandela Bay, led by Hive Hydrogen South Africa, plans to deploy a 1.2 GW electrolyzer powered by 3.5 GW of renewable energy from solar and wind. Backed by $20 million from the SA-H2 Fund, financial close is targeted for late 2026, with commercial operations expected around 2029 and an annual output of roughly one million tons of green ammonia for export. The project integrates the 1,430 MW Crossroads solar PV cluster, already completed.
Meanwhile, the Prieska Power Reserve project in the Northern Cape, supported by Germany’s KfW and South Africa’s IDC, aims to produce 80,000 tons of green ammonia per year by 2027, scaling to 500,000 tons by 2030. Both projects highlight South Africa’s focus on linking production with domestic and international markets, though infrastructure, regulatory frameworks and financing remain key challenges.
Namibia: Export-Focused Hydrogen Growth
Namibia is positioning itself as a cost-competitive green hydrogen exporter. Hyphen Hydrogen Energy secured a $10 million African Development Bank loan in December 2025 to advance its Lüderitz-based green ammonia project, part of a broader $10 billion development. Initial output is targeted at 300,000 tons per year, with plans to scale in the late 2020s. Cross-border collaboration with South Africa, including potential ammonia pipelines to industrial users, is under discussion.
However, the project faces market risks: in September 2025, German utility RWE withdrew from a non-binding offtake MoU, highlighting the importance of secure long-term agreements for export-oriented ventures.
Mauritania: Legal Frameworks and Mega-Projects
Mauritania has laid early groundwork for green hydrogen, creating a dedicated legal framework and investment incentives. The country targets 12.5 million tons of hydrogen by 2035. Key initiatives include the NAYRAH industrial power-to-X project with Möhring Energie, set to produce 140,000 tons of hydrogen and 400,000 tons of green ammonia annually by 2029, with 1 GW of electrolysis.
The country also hosts some of sub-Saharan Africa’s largest green hydrogen projects: CWP Global’s 30 GW Project AMAN, TotalEnergies and Chariot’s 10 GW Project Nour, and GreenGo Energy’s 60 GW Megaton Moon. All remain in early engineering, feasibility and permitting stages, with significant infrastructure, water and capital requirements ahead of commercial operation.
Outlook
While large-scale deployment faces hurdles – from grid and water infrastructure to financing and regulatory alignment – Africa’s green hydrogen agenda is gaining tangible momentum. South Africa, Namibia and Mauritania are emerging as the continent’s early leaders, setting the stage for Africa to become a global supplier of low-carbon hydrogen.