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Moving the world away from oil

Using the sun to produce hydrogen, then ammonia, is part of a bright Namibian plan to power global shipping

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Linda de Jager

Farm 58, Walvis Bay: Africa’s first integrated green hydrogen facility. (Supplied/CMB.TECH)

The world’s energy lifelines converge at the Strait of Hormuz, the narrow stretch of water whose importance surges whenever Iran and the US clash. The geopolitical tremors of the Middle East are felt globally, as this vital artery is used to transport a significant share of the world’s oil and gas to distant shores.

The stakes are high: continuous passage means stability for exporting giants and energy-hungry nations alike, and even slight disruptions ripple through global markets, causing prices to rise.

Amid geopolitical instability, CMB.Tech — a major maritime group with more than 250 vessels— is advancing a strategy for decarbonisation, moving away from oil and other carbon-based energy products. The company is developing clean fuel projects from a harbour in Namibia that is removed from regional conflicts, demonstrating how such initiatives could influence global maritime operations. CMB.Tech aims to turn Namibia into a producer and exporter of clean fuel, not just a user.

It has now acquired the remaining 51% stake in Cleanergy Solutions Namibia from the Ohlthaver & List (O&L) Group, becoming the sole shareholder. The Namibian Competition Commission approved the transaction in December.

“We are not just users of clean fuels,” says chief technology officer Roy Campe. “We also produce, distribute and transport hydrogen and ammonia, playing an integral role in the realm of low-carbon fuels. Namibia is central to our mission of delivering green molecules.”

CMB.Tech’s long-term aim is to decarbonise maritime transport and speed up the adoption of zero- and low-carbon fuels across the global shipping industry. Campe says the projects in Namibia mark a major milestone for the company, serving as its first African project to combine hydrogen production and end-use on a national scale.

Chief Technology Officer Roy Campe (supplied )

“We are committed to producing green hydrogen, advancing locally developed dual-fuel and hydrogen-powered applications and fostering strong collaborations with Namibian stakeholders.”

The first step was taken in September 2025, at Farm 58, Walvis Bay, with the launch of Africa’s first integrated green hydrogen facility. This plant is part of a five-year strategy that will also deliver an ammonia storage and bunkering facility at Walvis Bay harbour’s North Port, positioning it as a green logistics hub for exports.

The plan includes a gigawatt-scale solar-powered hydrogen and ammonia facility at Arandis, harnessing the region’s exceptional inland solar resources, Campe says.

The collaboration’s roots go back about six years, when Belgium-based CMB.Tech partnered with O&L Group.

O&L is one of Namibia’s largest conglomerates, with interests spanning hospitality, real estate, retail and beverages. It brought to the joint venture an African pioneering spirit, honed since its inception in 1919.

Walvis Bay Farm 58 (CMB.Tech)

“We were initially approached by CMB.Tech, which would be a direct off-taker for hydrogen,” says O&L executive chair Sven Thieme.

It has proved to be a strong partnership, as CMB.Tech is transforming the hydrogen and ammonia sectors globally, particularly in shipping and heavy industry.

The company already has hydrogen-powered vessels on the water and says it will launch its first ammonia-powered vessel this year. As the world races to decarbonise, CMB.Tech’s investment highlights the region’s potential, with data showing that certain areas in Namibia generate nearly twice as much solar energy per panel as areas in Europe.

Both founding parties initially recognised a significant opportunity due to Namibia’s location, “being positioned strategically, where ships and larger container vessels can refuel here at Walvis Bay harbour to help reduce the carbon footprint”, says Thieme.

O&L executive chair Sven Thieme (NUKA NUKA)

But in the end, it came down to the abundant availability of solar power. The initial investment of about €30m involved considerable financial risks for both parties, with “no guarantee we would get any of that back”, Thieme says.

The venture, faced with challenges including the high cost of pioneering technology and navigating legislation issues, ultimately succeeded. Walvis Bay’s hydrogen project, near the Namib Desert’s iconic Dune 7, is fully installed and operational.

Campe says the venture includes a solar park, battery storage, electrolysers for off-grid hydrogen production, a refuelling station and a Hydrogen Academy for local skills development.

“The facility is already supplying hydrogen for various uses, including dual-fuel trucks, a hydrogen-powered bus, off-grid power generators, and pilot projects in rail and port operations.”

Since the port vessel cannot come to the site for refuelling, a mobile refueller has been developed to deliver hydrogen to the port. Meanwhile, a dual-fuel harbour vessel is being constructed in the Netherlands for local deployment.

“The site can produce up to 185,000kg of green hydrogen annually, with plans to increase output to 440,000kg as demand and renewable energy capacity grow,” says Campe.

Thieme says the pilot phase was a success. “We’re proud to have helped get Cleanergy off the ground and start Namibia’s green hydrogen story.”

But as O&L now opts to focus on “pursuing new ventures”, a new chapter for CMB.Tech is unfolding with all eyes on Arandis, 80km from the pilot project. The town will be transformed into a large-scale inland production hub for green hydrogen and green ammonia. Green ammonia, synthesised by combining renewable hydrogen with nitrogen from air, is a key low-carbon energy carrier and chemical feedstock.

This location in the Erongo region, regarded as Namibia’s industrial centre, was chosen partly because of its superior exposure to sunshine.

And it’s still close enough to Walvis Bay to provide direct access to maritime markets. “Hydrogen produced inland will be converted into ammonia, piped to the coast, then exported or used as fuel for international shipping,” says Campe.

Overall, this indicates that the team is moving towards commercial-scale fuel production, and these fuels need to be exportable.

Arandis ammonia production (CMB.Tech)

“Construction is expected to begin in early 2027, with commercial operations targeted for 2030, pending approvals and final investment decisions,” Campe says. “The facility will use solar power to produce green hydrogen and convert it into green ammonia, helping to cut emissions in sectors like shipping and fertiliser production.”

The plant will cover about 2,400ha near Arandis and will feature a 1.2GW solar power plant and a 500MW electrolyser for green hydrogen production.

Storage and synthesis units are set to produce about 200,000t of green ammonia annually in the first phase.

To support this, the company is developing an ammonia bunker terminal at Walvis Bay to meet the fuelling needs of its next generation of ammonia-powered vessels. This terminal is a cornerstone of CMB.Tech’s ambitious new building programme, which includes more than 40 vessels designed to operate on ammonia.

The teams behind this project had to solve many puzzles along the way, connecting the dots as they proceeded. In simple terms, hydrogen produced inland will be converted into ammonia and piped to the coast. This ammonia arrives at a storage terminal at the new port extension before being transferred to the jetty for export as green fuel.

Hydrogen is preferred for green energy, but it is difficult to ship because of its low density. Though hydrogen cannot be easily liquefied, ammonia can be liquefied at -33°. Hydrogen is essential for producing ammonia.

“As a carbon-free molecule at the point of use and a scalable energy carrier, ammonia is widely recognised as a key solution for decarbonising hard-to-abate maritime applications,” says Campe. “By investing early in vessels and bunkering infrastructure, CMB.Tech is positioning itself at the forefront of the industry’s transition towards sustainable shipping.”

Beyond servicing CMB.Tech’s own fleet, the Walvis Bay ammonia bunker terminal is designed to play a broader enabling role within the regional and global energy transition, he says. “The facility will provide critical infrastructure for green ammonia producers, off-takers, and traders, lowering barriers to entry and supporting the development of a robust green ammonia value chain in Southern Africa.”

Meanwhile, a hydrogen locomotive is undergoing testing. The ambitious vision goes beyond ships to include trains, while welcoming new partners. Namibia is expected to launch its first green hydrogen–powered rail locomotive soon, marking a significant milestone in sustainable rail transport.

The locomotive, being assembled by South African rail engineering specialist Traxtion, is the result of a partnership between TransNamib Holdings, Africa Global Logistics and CMB.Tech Namibia.

“Namibia has a large fleet of idle locomotives that can be repowered with this cost-effective and future-proof technology,” says Campe. “By converting an existing locomotive, we aim to demonstrate how hydrogen can be integrated into freight rail without major infrastructure changes.”

The project ultimately seeks to introduce hydrogen dual-fuel technology in long-distance, heavy-duty rail transport.

Initially, 50 round trips will be made between Walvis Bay and the container depot near Windhoek during the trial period, with the possibility of extending operations.

Green hydrogen for this project will also be produced off-grid at CMB.Tech Namibia’s hydrogen plant in Walvis Bay. “It’s a perfect example of how green hydrogen can be integrated into an existing logistics corridor,” says Campe.

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