The giant Coega green ammonia production plant project has advanced another step with the launch of a request for proposals from shortlisted companies which will be contracted to drive the development.
Forty-eight engineering, procurement and construction companies responded to the request for information issued by Hive Hydrogen earlier in 2025, and 15 companies have now been shortlisted for the $5.8bn (R102.84bn) green ammonia development in the Coega special economic zone.
Hive Hydrogen chair Thulani Gcabashe said it was an important moment for the development.
“The release of these substantial requests for proposals marks the culmination of four years of intense development work.
“A team of over 120 people including a vast array of engineers, environmental specialists, social and governance consultants, legal and financial advisers, project managers, land surveyors, geologists and many others have worked tirelessly to make this a reality.”
Department of trade, industry and competition acting deputy director-general of investment and spatial industrial development, Yunus Hoosen, said the department was delighted to see so much international interest in the project.
“We have major engineering, procurement and construction companies from the Far East, Europe and the UK engaging and working alongside the South African construction industry to make SA’s lighthouse green ammonia project a reality.”
The key shortlisting and request for proposals step comes a month after the Africa Green Hydrogen Summit in Cape Town.
At the summit, the Coega Green Ammonia Project’s lighthouse status was confirmed by electricity and energy minister Kgosientsho Ramokgopa.
In the world of manufacturing, lighthouse status is a prestigious recognition awarded by the World Economic Forum to factories that are leaders in adopting and scaling fourth industrial revolution technologies.
Also at the summit, a development funding agreement of $20m (R354.63m)), for Hive Hydrogen to take the Coega green ammonia project to the point of a final investment decision was announced.
The project reached another milestone in June with the completion of its 1,430-megawatt solar photovoltaic cluster development phase, which will supply 40% of the plant’s power requirements.
The power from this solar power development in the Northern Cape — with the balance coming from two wind farm developments in the Eastern Cape Karoo — will be transmitted to the Coega plant via the Eskom grid.
Hive Hydrogen will be building a system of substations and transmission lines, in compliance with Eskom’s planning.
According to the company, this strengthened grid will also be available to other independent power producers.
It will allow for an additional 10 gigawatts at least, which is now stranded, to be transmitted.
Green ammonia is in demand for various eco-friendly uses including as a co-firing agent on coal-fired power stations, where it helps to reduce the quantity of coal burned and carbon emitted.
But by far the biggest demand is from the maritime industry, which is planning a major conversion from heavy fuel oil to ammonia to drive its engines.
Hive Hydrogen SA senior project manager Emile Ras has said the focus of the Coega plant is on ammonia because hydrogen is highly volatile, dangerous and difficult to transport.
“So, we export ammonia and then the buyers can either use it like that or convert it to hydrogen.”
According to Hive Hydrogen, though the Coega plant will focus on exports during its first phase of operation, the aim is to supply the SA market in future phases.
While the first plant will produce a million tonnes per annum, there is an opportunity for a total of four plants, which would ramp up production and construction jobs.
The Herald
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