Green Hydrogen: H2 Global Energy bets on Béni Mellal

The Moroccan landscape for green hydrogen is expanding with the introduction of a new project by Swiss developer H2 Global Energy in Béni Mellal. This initiative stands out for its location within the Kingdom, as most of the major projects announced so far have favored coastal regions that provide significant renewable potential and access to port infrastructure.

The project is described as a completely new facility designed to be off-grid and powered by solar energy. Hydrogen will be produced through water electrolysis and subsequently used to manufacture renewable ammonia.

According to available data, the electrolysis capacity could reach 1,300 MW, with a projected annual production of 220,000 tons of ammonia, and is slated for commissioning in 2029.

Up to 281,000 tons of renewable ammonia

However, the figures available regarding the project are not entirely consistent. The United Nations Industrial Development Organization (UNIDO) LEAD international database indicates a production capacity of 220,000 tons of ammonia and 1,300 MW of electrolysis.

A specialized publication from Ammonia Energy focusing on H2 Global Energy’s portfolio in North Africa presents a different scale. The developer lists an annual capacity of 281,000 tons of renewable ammonia for Béni Mellal, alongside approximately 1.5 GW of solar and battery storage capacity.

The investment cost, or Capex, is estimated at $2.5 billion, with commissioning still anticipated in 2029. The project is currently at the pre-FEED stage, which is an engineering phase preceding detailed studies.

These figures should therefore be viewed as evolving estimates. The $2.5 billion figure represents potential Capex at the development stage rather than funds already committed.

Béni Mellal, a different choice from major hydrogen hubs

The choice to locate in Béni Mellal is one of the project’s main features. So far, major Moroccan green hydrogen programs have concentrated in areas with significant solar and wind resources, but also with direct access to ports and industrial infrastructure.

Béni Mellal introduces a different configuration: that of ammonia production located in the heart of the Moroccan territory, far from the main export-oriented port hubs.

This location raises logistical questions. H2 Global Energy has yet to detail the plan for transporting production to external markets or potential industrial clients within Morocco.

Additionally, the choice of an off-grid model is significant. The electricity for electrolysis must come from dedicated renewable facilities, allowing for better control over the energy source, but it also requires sizing production and storage capacities to manage the intermittency of solar power.

H2 Global Energy is also preparing a project in Tangier

The Béni Mellal project is not the only Moroccan endeavor identified in H2 Global Energy’s portfolio.

The developer is also working on a project for renewable hydrogen peroxide in Tangier, currently presented at the pre-FEED stage. This unit aims for an annual production of 28,000 tons and would be powered by around 700 MW of solar and wind capacity.

The energy mix envisaged consists of 60% wind and 40% solar. The Capex for this second initiative is estimated at around $1.1 billion, with an anticipated commissioning in 2028.

Together, both projects represent a potential portfolio of about $3.6 billion in Capex in Morocco, based on currently available estimates. However, these are not mobilized funds but rather projected investment expenditures for two projects still under development.

A developer already engaged in Moroccan hydrogen

Moreover, H2 Global Energy is not a newcomer in the Moroccan renewable hydrogen sector.

In February 2025, the group announced the completion of initial studies related to a green hydrogen and ammonia project in Southern Morocco, with an initially announced capacity of 1 million tons of ammonia per year.

This initiative is part of a regional portfolio that also includes projects in Jordan, Tunisia, and Egypt.

The Béni Mellal project appears as a distinct and smaller-scale initiative. Its interest lies in the potential to explore a different production model that is more distributed across the territory and based on specialized units.

Production costs will be critical

Beyond the announced capacities, the main question remains the economic competitiveness of renewable ammonia.

In its studies on hydrogen and ammonia projects in Morocco, UNIDO estimates the production cost of renewable ammonia to be about $743 per ton with an alkaline electrolyzer, compared to $787 using PEM technology.

These levels are subject to various parameters, including the costs of electrolyzers, renewable installations, and particularly financing conditions.

For H2 Global Energy, moving a project from the pre-FEED stage to an investment decision will require overcoming several steps: detailed design, securing outlets, financing, permits, and confirming economic viability.

A new geography for Moroccan green hydrogen

The Béni Mellal project adds a new dimension to Morocco’s strategy for green hydrogen.

Until now, major announced projects have mainly developed around areas combining solar and wind resources, available land, industrial infrastructure, and maritime access, particularly in the south of the Kingdom.

H2 Global Energy’s initiative opens the prospect of more evenly distributed green molecule production across Moroccan territory. However, this approach must address several challenges: water availability, electricity storage, ammonia transportation, logistical infrastructure, and market access.

Ammonia is also one of the most significant outlets envisioned for Moroccan renewable hydrogen. The Kingdom already hosts a substantial fertilizer industry and a key player such as OCP, which could provide industrial outlets for a portion of local production.

For export-oriented projects, the equation will be different. Their competitiveness will depend notably on production costs, transportation, certification requirements, and the ability of international buyers to value low-carbon products.

At this stage, Béni Mellal remains a developing project rather than a definitively committed investment. However, its appearance in specialized international databases and its positioning at the pre-FEED stage reflect the gradual expansion of Morocco’s green hydrogen map.