Hive Hydrogen Launches $5.8 Billion Green Ammonia Project in South Africa—Here’s Why It Matters for the Hydrogen Industry

Hive Hydrogen, a joint venture between UK-based Hive Energy and South African firm BuiltAfrica, has officially issued a call for proposals on its R105-billion (approximately USD 5.8 billion) Coega Green Ammonia Project. This ambitious initiative—set within South Africa’s Coega Special Economic Zone near Nelson Mandela Bay—is poised to become one of the world’s largest green ammonia production facilities and a keystone of the emerging global hydrogen economy.

At the heart of the project lies a 1.2 GW electrolyser powered by 1.2 GW of solar PV and 2.4 GW of wind capacity. These renewable sources will feed a green hydrogen system that ultimately produces up to 1 million tonnes of green ammonia annually. In addition to the clean energy backbone, Hive Hydrogen has already completed a 1.43 GW solar development, which will cover nearly 40% of the project's total power requirements. The company expects the Coega facility to reach financial close in the second half of 2026, with commercial operations anticipated by 2029.

One of the project’s strategic advantages is its location. Coega’s deep-water port enables global exports, while existing grid infrastructure and desalination capacity make it ideal for large-scale hydrogen and ammonia production. Hive has also secured early-stage investment from the SA-H2 Fund, with USD 20 million committed and the potential for an additional USD 200 million during the construction phase. The project has been designated a "Lighthouse Green Hydrogen Project" by South African authorities, meaning it is prioritized for fast-tracked regulatory and infrastructure support.

But why does this matter for the broader hydrogen and ammonia industries?

First, the scale of the Coega project signals a transition from pilot-level efforts to true commercial-scale green hydrogen and ammonia production. With a capacity of over one million tonnes per year, Coega will substantially boost global supply, helping meet growing demand in sectors like heavy industry, maritime transport, and renewable energy storage. It also confirms that green ammonia—hydrogen synthesized with nitrogen using renewable energy—is viable at industrial levels.

Second, Coega is designed as an export-oriented hub. Green ammonia from this facility will be shipped to global markets, including Europe, Asia, and North America. Hive Hydrogen has already initiated agreements with international partners such as ITOCHU of Japan, reinforcing the global appetite for low-carbon fuels and the critical role South Africa can play in meeting that demand.

Third, this project provides a real-world demonstration of how hydrogen infrastructure can advance a just energy transition. In addition to decarbonizing a major sector, Hive Hydrogen’s plan includes job creation, water provisioning through desalination, and broader regional development. It also unlocks an estimated 20 GW of future renewable energy capacity for South Africa, addressing ongoing grid challenges and contributing to the country’s long-term energy security.

The Coega Green Ammonia Project is also significant from a financial innovation standpoint. The use of blended finance—combining public, private, and development capital—demonstrates a successful model for funding large-scale hydrogen infrastructure. This approach helps mitigate early-stage risk while paving the way for commercial-scale investment.

For stakeholders in the hydrogen space, the implications are far-reaching. Hydrogen producers can view Coega as proof of concept for similar megaprojects, while global investors gain confidence in the sector’s commercial maturity. Policymakers and infrastructure developers now have a blueprint for integrating renewable energy, clean fuel production, and community benefits in a scalable format. Most importantly, end-users in the shipping, industrial, and fertilizer sectors will gain access to a consistent and low-carbon supply of green ammonia, supporting their own decarbonization targets.

In short, Hive Hydrogen’s Coega project is more than just a facility—it is a milestone in the global shift toward clean, exportable hydrogen-based fuels. As the hydrogen economy scales up, Coega provides a clear signal that green ammonia is ready to move from niche to mainstream—and South Africa is ready to lead that transformation.

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