Hyphen signs agreement with CNCEC

Aug 7, 2025

Other articles

The Cost Curve Doesn’t Lie: Why Green Molecules Still Win

Three years ago, Namibia was being talked about as the next great green energy frontier. A sparsely populated country with world-class sun and wind poised to become a green hydrogen superpower. Since then, the mood has cooled. Financial close on large-scale projects is taking longer, due to slower market demand ramp-up and geopolitical headwinds.  Has the opportunity come and gone for Namibia? 

It hasn’t. The scale-up has been slower than the early hype promised, but the underlying fundamentals that position Namibia as a major emerging supplier remain unchanged. If anything, it has strengthened. To understand why, it helps to look for the signal amongst the market noise, to the direction that the global energy system is actually heading.

Namibia-Germany Enterprise and Supplier Development Mission

Hyphen Hydrogen Energy has concluded the Namibia-Germany Enterprise and Supplier Development Mission, a seven-day programme designed to connect Namibian businesses and training institutions with German technical, industrial and training partners.

Windhoek, August 6, 2025 — Hyphen has awarded China National Chemical Engineering Corporation (CNCEC) and its subsidiary China National Chemical Engineering & Construction Corporation Seven (CC7) a contract for the front-end engineering design (FEED) and engineering, procurement and construction (EPC) for the ammonia chemical production component of Hyphen’s green hydrogen project in Namibia.  The contract with CNCEC further derisks the project, thereby adding value to Namibia and all project stakeholders. The CNCEC contract represents one of several FEED and EPC contracts to be concluded for the various infrastructure components of the project. The commencement of any EPC components of the project remain subject to a successful final investment decision after the completion of the FEED.

CNCEC was appointed following a competitive international procurement process that prioritised both technical capability and alignment with Hyphen’s sustainability and local content objectives. The project remains in its development phase, with Hyphen progressing through detailed planning, permitting, and stakeholder engagement.

This milestone underscores Hyphen’s commitment to mobilizing global resources and expertise to deliver this transformative energy project in a globally competitive market.  CNCEC has a proven track record in executing complex, large-scale chemical and ammonia projects globally working alongside local execution partners and international technology providers, ensuring seamless integration of international technology, local content, and job creation.

Giuseppe Surace, chief operating officer at Hyphen, said: “This agreement marks a pivotal step in realising our vision to put Namibia on the map as a global leader in green hydrogen. CNCEC’s exceptional design and execution capabilities and proven track record of working with international technology providers and local contractors will enable Hyphen to optimise available international technologies and meet our local content and job creation targets.”

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For media enquiries contact FTI Consulting: HyphenAfrica@fticonsulting.com

About Hyphen

Hyphen Hydrogen Energy (Pty) Ltd is a Namibian registered green hydrogen development company, which has won the rights through a public tender to develop Namibia’s first large scale green hydrogen project on GRN owned land.  Hyphen is a joint venture between ENERTRAG SE and Nicholas Holdings Limited.  The Government of the Republic of Namibia holds a 24% shareholding in Hyphen via its blended finance company SDG Namibia One.

Hyphen’s project is being developed as the first step in the implementation of the Government’s strategy for the development of a large-scale green hydrogen industry in various regions in Namibia to support both economic growth in Namibia and assist the world in achieving its decarbonisation goals. At full scale development, the project will produce 2 million tonnes of green ammonia annually for regional and global markets, from ~7GW of renewable generation capacity and ~3GW of electrolyser capacity, cutting 5-6 million tonnes (annually) of CO2 emissions, with Namibia’s annual 2021 emissions totalling 4.01 million tonnes.

About CNCEC and CC7

China National Chemical Engineering Co., Ltd. (CNCEC), established in 1953, is a leading global engineering, procurement, and construction (EPC) company, specializing in large-scale chemical, petrochemical, and infrastructure projects. With a presence in over 50 countries, CNCEC has a proven track record of delivering complex projects, including chemical plants, refineries, and urban development initiatives, leveraging its comprehensive qualifications and integrated business capabilities.

China National Chemical Engineering & Construction Corporation Seven, Ltd. (CC7), a wholly-owned subsidiary of CNCEC founded in 1964. CC7 has extensive experience in the design and construction of chemical production facilities, particularly ammonia and fertilizer plants, with CC7 having successfully delivered over 60 large-scale international projects in countries such as Nigeria, Iraq, Bangladesh, Malaysia, and the UAE.

Other articles

The Cost Curve Doesn’t Lie: Why Green Molecules Still Win

Three years ago, Namibia was being talked about as the next great green energy frontier. A sparsely populated country with world-class sun and wind poised to become a green hydrogen superpower. Since then, the mood has cooled. Financial close on large-scale projects is taking longer, due to slower market demand ramp-up and geopolitical headwinds.  Has the opportunity come and gone for Namibia? 

It hasn’t. The scale-up has been slower than the early hype promised, but the underlying fundamentals that position Namibia as a major emerging supplier remain unchanged. If anything, it has strengthened. To understand why, it helps to look for the signal amongst the market noise, to the direction that the global energy system is actually heading.

Namibia-Germany Enterprise and Supplier Development Mission

Hyphen Hydrogen Energy has concluded the Namibia-Germany Enterprise and Supplier Development Mission, a seven-day programme designed to connect Namibian businesses and training institutions with German technical, industrial and training partners.

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