On October 16, 2024, Algeria took a big step towards working with Europe on a new hydrogen project. They signed an agreement with several European companies to explore how feasible and profitable it would be to create a hydrogen corridor linking North Africa and Central Europe.
Focus on Renewable Energy
The agreement includes companies like Sonatrach and Sonelgaz from Algeria, along with VNG from Germany, Snam from Italy, SeaCorridor (a partnership between Eni and Snam), and Verbund Green Hydrogen from Austria. The signing ceremony happened at the Palais des Congrès in Oran, attended by Algeria’s Minister of Energy and Mines, Mohamed Arkab, and leaders from these companies.
This partnership will allow them to study the possibility of producing green hydrogen in Algeria. The goal is to supply this hydrogen to Europe through the SoutH2 corridor, a 3,300 km pipeline that will connect North Africa with Italy, Austria, and Germany. The European Commission is backing this corridor, which aims to provide renewable hydrogen by reusing existing pipelines and adding new ones where needed.
According to the officials, this corridor “will help reduce our reliance on fossil fuels and encourage a move towards a more sustainable, low-carbon future.” If successful, this project could meet Europe’s demand for green energy and strengthen Algeria’s role as a key energy supplier.
Algeria’s Advantages in Hydrogen Production
Algeria has a lot to offer for green hydrogen production. The country gets plenty of sunshine, has a well-developed electricity network, a vast pipeline system, and plenty of water resources. Plus, Algeria has significant experience in the energy field. The government aims to generate 15 gigawatts of energy from renewable sources by 2035, with 3 gigawatts planned for the national grid.
During a recent summit on hydrogen in Italy, Minister Gilberto Pichetto Fratin highlighted that Italy has invested over 3 billion euros in hydrogen projects and is focused on building major infrastructures.
He pointed out that Europe expects to need around 20 million tons of hydrogen by 2030, with about half of that to be imported. This puts Italy in a key position for hydrogen transit in the region.