Renewables
Sahamco advances green hydrogen project in Morocco
Sahamco Holding BV has outlined progress on its large-scale green hydrogen and ammonia initiative in Dakhla.
Key points
- Sahamco Holding BV targets one million tonnes of renewable ammonia annually in Morocco.
- The Dakhla-Oued Eddahab initiative leverages local wind and solar resources.
- The project aligns with the Moroccan government's low-carbon energy framework.
What happened
Hydrogen Fuel News reported that Sahamco Holding BV has disclosed significant updates regarding its renewable hydrogen and ammonia initiative situated in the Dakhla-Oued Eddahab region of Morocco. The enterprise aims to achieve an initial production capacity of one million tonnes of renewable ammonia every year. According to the reporting, this development fits directly into the North African country's broader strategy for low-carbon fuels and follows previously announced national ambitions for expanding the green hydrogen sector.
The industrial initiative relies fundamentally on the region's abundant solar and wind potential. Furthermore, its geographic location offers strategic logistical advantages regarding proximity to international export corridors, a factor expected to appeal significantly to prospective industrial offtakers and global commodities traders. The Moroccan government has reportedly established a dedicated regulatory framework to facilitate the undertaking, reinforcing the country's aspiration to become a prominent participant in the emerging international green hydrogen market.
What comes next
As the enterprise moves forward from the planning phase, attention will likely turn to finalising financial investment structures, securing binding long-term offtake agreements, and advancing detailed technical engineering for the large-scale production and storage facilities in Dakhla. Constructing and integrating the substantial renewable generation capacity required to power the electrolysis and subsequent ammonia synthesis processes will represent a critical operational milestone for the developers and their financial backers.
Why it matters
According to World Bank figures provided by CEII data, Morocco's renewable share of electricity output stood at 19.3 percent in 2021, while electricity use per person reached 1034.9 kWh in 2024. With complete electricity access recorded at 100 percent in 2024 and high clean cooking penetration at 97 percent in the same year, Morocco is demonstrating a capacity to build export-oriented green industries. Fuel exports accounted for a modest 0.7 percent of total merchandise exports in 2025, according to the same World Bank dataset.
For energy investors, regulators, and policymakers across the African continent, large-scale ventures such as the Dakhla project illustrate how resource-rich emerging economies are attempting to monetise local renewable endowments for international clean energy markets. While countries like Nigeria primarily leverage fossil resources such as natural gas and petroleum, the rapid policy and industrial strides observed in North Africa provide valuable comparative insights into building cross-border green hydrogen supply chains and attracting foreign direct investment into renewable infrastructure.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Renewables are the fastest-growing part of the world’s energy system. The COP28 goal is to triple capacity by 2030, and solar mini-grids are the fastest route to power for millions of people without electricity.
19.3% of electricity in Morocco was renewable in 2021Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
