Mark Crandall, Founder and co-CEO of renewable energy developer, CWP Global, spoke to Energy Capital & Power about CWP’s operations in Mauritania, specifically its development of the AMAN project, what it means for the country, and his outlook on MSGBC Oil, Gas & Power 2023.
Situated in the northern region of Mauritania, specifically in the Dakhlet Nouadhibou and Inchiri areas, the AMAN Hydrogen Project in Mauritania, the largest upcoming green hydrogen development in Africa, aims to deploy at full scale 18 GW of wind capacity and 12 GW of solar, generating around 110 terawatt hours (TWh) of electricity annually. Developed by CWP Global in partnership with the Mauritanian Government, this $40 billion project is expected to have its first stage operational by 2029/30.Top of Form
What is the status of the $40 billion AMAN green hydrogen project and what role does the project play in Mauritania’s journey to net zero by 2050?
The AMAN project is pivotal in advancing Mauritania’s development towards a sustainable, net-zero future. Our plan is to implement an ultra-large-scale, 30-gigawatt green energy hub, with the potential to produce around 110 terawatt-hours annually. This ambitious endeavour will contribute significantly to the decarbonization and green value-add industries of Mauritania, in line with our vision at CWP Global for a greener, more sustainable energy future.
Our project’s objective is to generate an abundant supply of cost-effective renewable energy, in partnership with the Mauritanian government. Recognizing Mauritania’s current minimal power needs, our approach is to convert the majority of this low-cost electricity into hydrogen. This step is crucial, as the local electricity demand is primarily for diesel replacement, limiting direct consumption options. The Government’s intention to expand its mining activities, particularly for iron ore, is also a potential source of power demand.
Once we have converted the energy into hydrogen, we are then positioned to explore various export possibilities. These include:
- Direct Reduced Iron (DRI): Utilizing the hydrogen to treat iron ore, a process known as direct reduced iron. This application is significant in the steel manufacturing industry.
- Ammonia Production: Converting hydrogen into ammonia, which can be used as a sustainable shipping fuel. This is a critical effort in pursuit of lower maritime emissions, in line with recent updates of the GHG emission reduction strategy adopted by the IMO in June 2023.
- Liquefied Hydrogen for Europe: Liquefying the hydrogen to supply European markets, where it can be used in various industries.
Thus, the project is multifaceted, offering three major exportable solutions – DRI, ammonia, and liquefied hydrogen. Each of these applications has its unique value and potential market, making our project both versatile (through “offtake optionality”) and impactful in terms of global renewable energy utilization.
How does this project fit into CWP Global’s broader strategy for green energy initiatives?
The AMAN project exemplifies CWP Global’s core mission—pioneering, massive-scale projects focused on green hydrogen production. Our strategy is straightforward and targeted. We have dedicated teams around the world scouting for such opportunities, and we are confident in our ability to succeed.
In Mauritania, where iron ore export is prevalent, it’s strategically beneficial for us to utilize some of our hydrogen to process local iron ore. This contrasts with our project on Australia´s southern coast, where the geographical location pivots our attention towards large-scale ammonia production, primarily for export to Asian markets. Essentially, the underlying principle remains consistent across different geographies.
Mauritania holds a special place in our strategy. We began our journey there earlier than in other regions, and it has proven to be one of our most promising resources. Our commitment in Mauritania is evident through our substantial team of 25 people, currently actively engaged in wind measurement, site visits, and environmental studies. The pace and enthusiasm with which we are advancing in Mauritania highlights its significance within our portfolio.
What impact is expected on the local economy and job creation in Mauritania due to this green hydrogen initiative?
The green hydrogen initiative is poised to have a profound impact on Mauritania’s economy and job market. Our project involves extensive civil construction, including potentially building and assembling wind turbines in Mauritania due to the project’s significant scale. This endeavour is expected to create a substantial number of jobs, potentially ranging from hundreds to thousands.
A major aspect of our initiative is the development of new infrastructure, much of which is currently non-existent in Mauritania. The challenge we face is not in our willingness to employ local talent, but in locating and training the appropriate workforce. Although the process of capacity building may progress more slowly than we wish, our commitment to this aspect is unwavering.
We are confident that our investment will significantly boost Mauritania’s economy. The scale of expenditure and development associated with this project ensures an economic uplift, marking a transformative phase for the country. At this level of investment, an economic boom is inevitable.
How does this project align with Mauritania’s renewable energy goals?
The core aim of our project aligns closely with Mauritania’s primary objective: to use its renewable energy sector as a vehicle for lifting the country out of relative poverty. In Mauritania, the focus on climate goals intertwines with the utilization of its remarkable renewable resources for economic gain. With its exceptional wind and solar potential, the country is ideally positioned for zero-carbon energy production.
The AMAN project is uniquely suited to Mauritania’s context, a nation rich in renewable resources. It’s not just about adhering to climate goals; it’s about transforming these natural assets into economic prosperity. This initiative is key in helping Mauritania capitalize on its renewable potential, turning it into a source of wealth and a driver for richer economic futures.
Why is the MSGBC conference so important for the region and what are you looking forward to from the event?
The MSGBC conference holds significant importance for the region, especially considering the challenges faced by its smaller member countries in amplifying their collective voice on the global stage. In nations like Guinea, Guinea-Bissau, and others along the Gulf of Benin, including Togo, the complexities of maintaining a fully independent economy are pronounced. This reality underscores the necessity of regional cooperation.
The essence of the MSGBC conference lies in exploring how regional collaboration can facilitate world-scale projects that are economically viable and locally beneficial. I think the basic underlying concept of MSGBC is: how do we use regional cooperation to do world-scale projects so that they are economic so that the returns are not earned by foreign companies.