Sonatrach and Cepsa Sign a Memorandum of Understanding to Produce Green Hydrogen
In cooperation with the Spanish corporate Cepsa, Algeria’s oil company Sonatrach signed a memorandum of understanding here on Monday to conduct a joint feasibility study to develop an integrated project to produce green hydrogen and its derivatives in Algeria to mainly supply the European market.
According to a statement by Sonatrach, the signing ceremony was chaired by Mohamed Arkab, Minister of Energy and Mines, at the Oran Conference Center, in the presence of members of the government, His Excellency the Consul General of Spain in Algeria, in addition to the CEO of Sonatrach, Rachid Hachichi, the CEO of Sonelgaz, Mourad Adjal, and Maarten Wetselaar, CEO of Cepsa.
The MOU provides for the implementation of the green hydrogen project in two phases: the first is dedicated to conducting studies to assess the feasibility, opportunities and profitability of the project, while the second focuses on its development.
This integrated project contributes to the decarbonization goals set by the two companies and includes the construction of a hydrogen production plant through electrolysis, solar and wind power plants to supply the electrolyzers with renewable energy, in addition to a methanol and green ammonia production plant, and storage and transportation facilities.
Cepsa is a historic partner of Sonatrach, a global leader operating across the hydrocarbon value chain and also operating in the renewable energy and hydrogen sectors.
