Morocco's Falcon Capital Dakhla has signed a preliminary agreement with France's HDF Energy to build a green hydrogen production plant in the country's coastal region of Dakhla.

Called White Dunes, the planned project will have a solar photovoltaic capacity of 7GW, wind power capacity of 10GW and 8GW of electrolysis capacity, according to the Bordeaux-headquartered green hydrogen developer.

The two companies have started the fundraising process for the project's initial phase, which will require an investment of MD20bn ($2bn).

They expect to start construction in 2025, with hydrogen production scheduled for 2028.

Falcon Capital Dakhla's founder Majid Slimani and HDF Energy's CEO Damien Havard signed the agreement, which was announced on 16 November.

Slimani said they had spent almost two years conducting a feasibility study for the project.

"Over the last two years, we have been able to define a preliminary design for the project, as well as a phasing plan for a projected overall surface area of 150,000 hectares," the executive said.

"This design was made possible by the installation of a measuring mast and the implementation of a preliminary environmental and social impact study to determine the region’s sensitive flora and fauna zones.” 

Slimani’s managing partner Anas Belmamoun said that the White Dunes project will contribute to shaping the future of green energy in the country and internationally, especially as Dakhla "stands out for its average wind speed of 10 metres a second at the height of 100 metres, making it a Class 1 site for wind energy production.”

MEED understands that HDF Energy, in partnership with the Moroccan Storage Society (Mocas), is involved in the development of a major underground hydrogen storage plant in a salt cavern in Morocco.

The Melhy project is expected to produce 100 per cent carbon-free electricity, day and night. The facility integrated fuel cells from HDF Energy's plant in Bordeaux. 

Further projects

There are several major green hydrogen projects planned in Morocco.

The largest so far is Amun, which will be developed by Serbia-headquartered renewable energy developer and investor CWP Global.

Earlier this year, the firm selected US company Bechtel to support developments of large-scale green hydrogen and ammonia facilities in North Africa, including Morocco's Amun project.

To be located in Tan Tan in Guelmim-Oued Noun in southwestern Morocco, the Amun project will be staged in phases with an ultimate green ammonia production capacity of 6 million tonnes a year.

Morocco's green hydrogen roadmap envisages the production of green hydrogen and ammonia to support the electrification of domestic industries, particularly of fertiliser production, transport and building heating, as well as for export to Europe.