Namibian energy firm Kaoko Green Energy Solutions is seeking N$395 million to develop its SKORPIoN pilot project, which aims to produce e-methanol for use in the commercial shipping sector.
Of the total amount, N$91 million (€4.5 million) is earmarked for pre-construction development, including feasibility studies, environmental assessments and infrastructure planning, while the remaining N$304 million (€15 million) will go towards reaching financial close.
Kaoko Green Energy co-founder Gerson Nasau confirmed that the company has already secured a soft commitment for half of the project’s total capital expenditure. “The capital expenditure is for the whole infrastructure,” Nasau said. “This includes the hydrogen component and the biogenic carbon dioxide part, and then the green hydrogen has come from a renewable source, so the solar park, the wind turbines, and the ponds where we will grow our algae and seaweed that gives us biogenic.”
The SKORPIoN project is being developed in partnership with South African biofuel firm SeaH4 and will be based on a 20-hectare site provided by the Erongo Regional Council. The site will include a 10MW renewable energy park to power the production process.
According to Nasau, the pre-construction funding will support the groundwork for the project. “The €4.5 million is to get all our assessments and studies, feasibility in place and everything related to that before the construction phase. So basically the whole infrastructure map in that area,” he said.
The project is expected to produce e-methanol at a target price of US$580 per tonne, using desert-farmed algae to capture carbon dioxide and generate a sustainable feedstock.
In 2023, Kaoko Green Energy signed a memorandum of understanding with Finnish company AW-Energy to explore the use of WaveRoller technology near Wlotzkasbaken for green hydrogen production.
