Chariot Limited has signed an agreement with Mauritania's Ministry of Petroleum, Mines & Energy to progress a potential green hydrogen development, called Project Nour, of up to 10 gigawatts (GW).
A 14,400 sq km area onshore and offshore has been designated to carry out pre-feasibility and feasibility studies for the project, according to a statement from the two parties on Monday, with the intention of generating electricity from solar and wind resources to be used in electrolysis to split water to produce green hydrogen and oxygen.
Chariot said its in-house team have a track-record of successfully delivering large renewable projects in Africa and will be deployed to immediately begin work on assessing the wind and solar resources, environmental impact as well as macroeconomic and social impact studies.
The pair said Mauritania benefits from world class solar and wind resources, meaning Project Nour has the potential to allow Mauritania to produce the cheapest green hydrogen in Africa and to become one of the world's main producers and exporters of green hydrogen and its derivative products, close to potential large European markets.
These products have the potential to replace traditional fossil fuels in both power generation and chemical manufacturing processes, the statement said, with a significant reduction in associated emissions of greenhouse gases such as carbon dioxide.
The intention is to carry out a partnering process on the project with the objective to form a world-class consortium.
Abdessalam Ould Mohamed Saleh, of Mauritania's Ministry of Petroleum, Mines & Energy, said: "Developing Mauritania's green hydrogen industry promises to bring a combination of environmental, economic and social benefits to our country. We have the potential, and desire, to be a world leader in the field of hydrogen production from renewable energy sources. The Ministry is pleased to have signed this agreement with Chariot and hopes for a long and rewarding partnership."
Adonis Pouroulis, acting CEO of Chariot, added: "In Mauritania, Chariot has a history of previous significant investments and bringing in world-class partners to projects, and we are looking forward to working with the government of Mauritania again to fast-track Project Nour.
"This is a potential large new market, set to bring multiple benefits to all parties and deliver positive impact to Mauritania. We thank the Government of Mauritania for the opportunity to partner with them on what we believe will be one of Africa's largest projects of its kind and look forward to providing updates regarding the near-term pre-feasibility study and beyond."