Economy

Green Hydrogen: Six Moroccan Projects Move Forward to Engineering Phase

Morocco Advances in Green Hydrogen Industry Development

Morocco has taken a significant step forward in developing its green hydrogen industry. Six projects selected in the regions of Guelmim-Oued Noun, Laâyoune-Sakia El Hamra, and Dakhla-Oued Eddahab are now entering the preliminary engineering studies phase (pre-FEED), followed by the basic engineering phase (FEED), as stated by the Ministry of Economy and Finance (MEF).

These initiatives represent a total projected investment of $34 billion, approximately 334 billion dirhams. The projects are designed to mobilize 17.3 gigawatts of renewable electricity capacity, install 6.5 gigawatts of electrolysis, and produce up to one million tons of hydrogen annually.

This development marks a significant advance in structuring Morocco’s green hydrogen offerings. However, it should be noted that this doesn’t imply that investments are definitively secured: technical studies, financing conditions, and final investment decisions remain critical for the realization of each project.

Three Southern Regions at the Heart of Investments

The portfolio approved by Moroccan authorities includes two projects in the Guelmim-Oued Noun region, one in Laâyoune-Sakia El Hamra, and three in Dakhla-Oued Eddahab. The future industrial facilities will primarily focus on ammonia production, but they will also be capable of producing methanol, synthetic fuels, and green steel.

The realization of these projects depends on the involvement of several international and national groups from the energy, infrastructure, and industrial equipment sectors.

The ORNX consortium includes American firm Ortus Power Resources, Spanish infrastructure group Acciona, and German wind turbine manufacturer Nordex. Other investors include UAE’s Taqa, in partnership with Spanish energy company Moeve, formerly Cepsa, as well as Moroccan energy group Nareva Holding and publicly listed Saudi company Acwa Power.

The last project is driven by China’s United Energy Group and China Three Gorges.

Initially projected in March 2025 at a value of 319 billion dirhams, the portfolio is now estimated at $34 billion in budgetary documents. The selected consortiums received land reservation contracts valid for six months, as part of the Moroccan-German Energy Partnership.

Technical Studies Before Investment Decisions

The transition to pre-FEED and FEED studies is critical in preparing the industrial installations. The initial studies must clarify the proposed processes, electricity and water requirements, location of production units, necessary connections, as well as preliminary cost estimations.

The FEED studies will define the standard technical configuration, the implementation schedule, and the estimated budget. This work represents important milestones before the final investment decision.

However, the actual launch of the construction sites will depend on the outcomes of these studies, as well as securing funding, finalizing sales contracts, obtaining permits, and the specific conditions associated with each project. Thus, the six dossiers may proceed according to different timelines.

Masen Tasked with Supporting Investors

The Moroccan Agency for Sustainable Energy (Masen) plays a central role in overseeing this new phase. According to the report on public enterprises attached to the budgetary documents, Masen is responsible for supporting the selected investors and monitoring the pre-FEED and FEED studies of the selected projects.

The experience of the Chbika project illustrates the gradual advancement of such initiatives. On September 17, 2025, Masen successfully announced the completion of the pre-FEED studies for this project led by TotalEnergies H2, a subsidiary of the French group TotalEnergies. Chbika, however, remains separate from the six projects identified in March 2025.

For 2027, Masen’s investments are expected to reach 7.01 billion dirhams across its entire portfolio, according to budgetary documents.

Significant Renewable Capacities for Morocco

The six green hydrogen projects feature a combined renewable power capacity of 17.3 gigawatts. This capacity represents about a 42% increase over Morocco’s installed electricity capacity, which is projected to reach 12,214 megawatts by the end of 2025.

Beyond solar and wind installations, their development will necessitate electrolyzers, water supply systems, industrial conversion units, and infrastructure for shipping finished products.

The scale of equipment required emphasizes the importance of the investments needed to establish an integrated value chain, from renewable electricity production to the manufacturing of industrial products primarily for the ammonia, methanol, and synthetic fuels markets.

The realization of these ambitions will depend on the ability to transform studies into investment decisions, and subsequently to secure the financing and commercial outlets essential for the profitability of the installations.

Nador West Med at the Center of Future Gas Infrastructure

Alongside the development of green hydrogen, Morocco is preparing to enhance its gas infrastructure. The budget documents notably include plans for a terminal at Nador West Med in the northeast of the Kingdom, intended for receiving, storing, and regasifying liquefied natural gas (LNG).

Its maximum capacity is set at five billion cubic meters per year. The infrastructure will also include a combined cycle power plant with a capacity of 1,200 megawatts and a gas pipeline of approximately 130 kilometers linking the terminal to the Maghreb-Europe gas pipeline.

The proposed network also includes a pipeline of around 220 kilometers towards Mohammedia, along with two branches of thirteen and nineteen kilometers intended to serve Kénitra and Mohammedia.

A notice published on April 23, 2025, allowed the ministry to consult companies regarding these works, with commissioning initially anticipated in 2027. The budget documents for 2027 now foresee a gradual implementation of the various components.

Gas Capacity Expected to Reach Ten Billion Cubic Meters

In the medium term, Morocco’s gas infrastructure capacity is expected to reach ten billion cubic meters per year within five to six years, according to the roadmap presented by the ministry. This capacity would be evenly distributed between the Nador terminal and a future Atlantic terminal.

Post-2030 planned projects include this second terminal, a regasification unit at the Dakhla Atlantic port, and new pipelines aimed at completing the national network.

The ministry also anticipates a future connection with Mauritania’s and Senegal’s networks, in view of developing the Atlantic African Pipeline. The proposed infrastructures are also presented as potentially compatible, in the long term, with transporting hydrogen and other gases.

Between launching the studies for its major green hydrogen projects and preparing new gas infrastructures, Morocco is thus continuing to shape its energy system. The next steps will involve realizing these projects from technical, financial, and industrial perspectives, while confirming their implementation timeline.

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