Name of the Project
Green hydrogen (GH2) project.

Location
Near Vanrhynsdorp, in South Africa’s Western Cape province.

Project Owner/s
Global energy company Keren Energy.

Project Description
The project received Strategic Infrastructure Project status from Infrastructure South Africa in 2023 and involves the construction of a GH2 production facility.

The project will support South Africa’s transition to a low-carbon economy by focusing on small-scale, distributed hydrogen production, tailored for local industrial, manufacturing, mobility and commercial sectors. 

The facility will produce an estimated 800 t/y of green hydrogen in the first phase.

It will use on-site solar power, supplemented by grid-based renewable energy, to power advanced electrolysers, which produce green hydrogen in gas form.

The hydrogen will be stored in ISO tube trailers, allowing for flexible, decentralised distribution to end-users.

The project aims to mitigate the impact of mechanisms, such as the EU’s Carbon Border Adjustment Mechanism, and support the competitiveness of South African exporters.

Potential Job Creation
The project aims to create local jobs and foster skills development.

Capital Expenditure
The total investment required for the project’s full development is estimated at R1-billion.

Planned Start/End Date
The project is expected to reach financial close by the end of 2025, with production anticipated to start in the first half of 2028.

Latest Developments
The project is at a critical juncture in securing strategic partnerships, finalising project funding and engaging with offtakers.

The front-end engineering design study and bankable financial model for the project have been completed, with most of the permits for the project in place.

The project site has also been secured through a long-term lease.

Key Contracts, Suppliers and Consultants
Not disclosed.

Contact Details for Project Information
Keren Energy email george@kerenenergy.com/weyers@kerenenergy.com, or cell +27 65 803 8687/+27 82 224 9099.