US and Algerian Companies Partner to Develop Green Hydrogen Plant for Steel Production
Key Ideas
  • Hecate Energy collaborates with Tosyalı Algerie and Sonatrach to build a green hydrogen plant supporting green steel production in Algeria.
  • The project will be executed in two phases: feasibility assessment and construction, with €28 million funding from the EU and Germany.
  • Algeria aims to generate 27% of its energy from renewables by 2026, targeting 15 gigawatts of clean power.
US-based Hecate Energy is teaming up with Algerian steel producer Tosyalı Algerie and energy company Sonatrach to establish a large-scale green hydrogen plant in Algeria. The goal of this collaboration is to facilitate green steel production in the country. The project, based on feasibility studies carried out in 2024 by Tosyalı Algerie and Sonatrach, will be conducted in two main phases. The initial phase involves evaluating the feasibility and profitability of the project, while the subsequent phase will concentrate on the actual construction of the plant. Although specifics such as the cost, location, and production capacity have not been disclosed yet, the European Union and Germany's Federal Ministry for Economic Cooperation and Development have committed approximately €28 million in funding for the endeavor. Algeria has set ambitious targets, aiming to derive 27% of its energy mix from renewables by 2026 and to generate around 15 gigawatts of clean power. This initiative aligns with Algeria's broader objective of transitioning to a more sustainable and environmentally friendly energy landscape.
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