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SDG Namibia One Fund, a dedicated green hydrogen blended finance vehicle and the designated funding partner to Namibia’s green hydrogen initiatives, and Hyphen Hydrogen Energy have concluded a share subscription agreement, following which the Fund will take up a 24% stake in the Hyphen green hydrogen project.
The Fund’s equity subscription will be backed by an initial € 23 million development funding for the Project and will seek to raise USD1 billion from public and private investors in Namibia and globally.SDG Namibia One Fund is jointly managed by Climate Fund Managers, a climate-centric blended finance fund manager, Dutch development financing institution Invest International, and the Environmental Investment Fund of Namibia (EIF).
This announcement reinforces Namibia’s position as a leader in the global green energy movement and the Government’s continued commitment to realizing the potential of the green hydrogen sector for all Namibians, stated Invest International CEO, Joost Oorthuizen. EIF’s involvement ensures direct access and ownership for the Government of Namibia in the Project, whereas CFM and Invest International bring in the required institutional and funding capacity.
With the acquisition of a 24% equity stake in the Hyphen Green Hydrogen Project, EIF is not just investing in a project, but we are catalyzing Namibia’s journey towards global leadership in green hydrogen production. This milestone is also a stepping stone for green industrialization in Namibia, marking its commitment to shaping a cleaner and more sustainable tomorrow, stated EIF CEO, Benedict Libanda.
Green hydrogen has a pivotal and unique role to play in achieving net-zero targets by 2050. The Hyphen project, groundbreaking in both scale and impact, is a masterclass in how the public and private sectors can work together to unlock the potential of this exciting new sector, driving economic growth for Namibia and a greener, more resilient future.
Hyphen, whose shareholders include renewable power developer Enertrag and infrastructure developer Nicholas Holdings Ltd, was announced as the preferred bidder in 2021 for the project, which will be developed on 4,000 km² of land within the Tsau ||Khaeb National Park, Namibia’s first fully vertically integrated GW-scale green hydrogen project, and the largest green hydrogen production project in Sub-Saharan Africa.
Read Also:
https://trendsnafrica.com/japan-to-invest-to-the-tune-of-us-4-4-billion-in-namibias-hyphen/
https://trendsnafrica.com/namibian-govt-to-acquire-24-equity-in-hyphen/
The Hyphen project, upon completion of Phases 1 and 2, will produce 2 million tonnes of green ammonia (a hydrogen derivative that is easier to transport) annually from ~7 GW of predominantly wind and solar renewable energy generation capacity and ~3 GW of electrolyser capacity, avoiding an estimated 5-6 million tonnes of CO2 emissions a year.
