South Africa’s Coega green ammonia project has selected Danish engineering company Topsoe to supply electrolyser cell technology and related equipment in a deal valued at about US$1 billion, project developers said on Monday.
The agreement marks a key milestone for the US$5.8 billion facility planned for South Africa’s eastern seaboard, which aims to produce one million metric tons of green ammonia annually by 2030.
The Coega project, located at the Port of Coega and jointly developed by Britain’s Hive Energy and South African partner BuiltAfrica, is part of a growing race across Africa to tap into rising global demand for hydrogen and ammonia in Europe and Asia.
Green ammonia is produced using renewable energy sources such as wind and solar power and is increasingly seen as a cleaner alternative for use in fertiliser production and industrial chemicals.
In a statement, Hive Energy chief executive Giles Redpath said Topsoe’s technology would significantly reduce capital expenditure on renewable energy infrastructure by more than 0.5 billion euros ($582 million).
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The developers said the project is in its final development phase and is expected to begin Front-End Engineering Design (FEED) in the third quarter of 2026, with a final investment decision targeted for the third quarter of 2027.
Once completed, the project is expected to position South Africa as a major exporter in the emerging global green fuels market, competing with similar developments in Morocco, Namibia and other resource-rich African nations.
Industry analysts say green hydrogen and its derivatives, including ammonia, are expected to play a growing role in global decarbonisation efforts, particularly in shipping, fertiliser production and heavy industry.
