Overview

The Prieska Power Reserve is one of the six South African flagship renewable energy projects selected for showcasing at COP26. The project which is being developed by Mahlako a Phahla Investments and Central Energy Corporation, is a catalytic project that will start producing green hydrogen and ammonia in 2025 through a combination of high yielding renewable solar and wind energy resources, along with the other natural resources of water and air. It consists of two phases; the first phase of the project will result in the production of 80 000 tons/annum of green ammonia (with a green hydrogen content of approximately 14 300 tons) from 2025, increasing to over 500 000 tons/annum by 2030. The first phase of the project will make use of 80MWp solar, single axis tracking and 240MWp of onshore wind. The construction of the ammonia production facility will commence in 2022 and will consist of a 120MW electrolyser and 52.2 MW ammonia synthesizer which will be operational in 2025. The second phase of the project and onwards, which is expected to commence from 2027; will see an expansion of the plant provide more than 260 MWp of solar and 1500 MWp of wind energy. The project aims to incorporate next generation technology which will be cheaper and more efficient which as a result will unlock further economies of scale that will make the selling price of green ammonia competitive when compared to grey ammonia. The green hydrogen and ammonia project will not only create infrastructure development of a new innovative renewable technology which will assist in reducing Greenhouse emissions but will also increase the country’s exports by $10.5 billion. The project will result in increased market penetration by female industrialists and female-owned green infrastructure providers. The project is expected to create over 176 000 job years that will benefit local communities and develop skills for skilled and non-skilled labourers together with women and youth.