Assignment
Norconsult assisted a confidential Consortium in the development of a green economy concept and business case in Morocco. The Consortium, possessing significant experience in planning and structuring renewable energy and green hydrogen projects in emerging markets, aimed to facilitate the establishment of local green industry.
The scope included offering delivery of competitively priced green hydrogen, ammonia, and renewable energy, with applications for local steel, green fertilizer, and aluminum facilities, in addition to an export component. Norconsult's responsibilities also encompassed financial modelling of the developed concept, with the green steel, fertilizer, and aluminum production plants developed with potential third parties as partners.
Solution
The concept developed by Norconsult encompassed a total renewable capacity of 2.2 GWp Solar PV and 2.2 GW wind, based on renewables energy resource assessment using our proprietary renewable energy green industry modelling tool. The tool allowed for the establishment of optimal renewables configuration and process plant sizing, including an analysis of different PV design configurations and wind turbine types to affect energy yield.
Inputs to the model were the operating parameters, capex assumptions, and PV and wind generation profiles, while outputs from the model included MW electrolyzer capacity, MWp PV and wind, tons high-pressure H2 buffer storage, ton per day ammonia loop capacity, ton per day recycled aluminum capacity, ton per day green steel capacity, substation rated capacity, and tons of end product storage.
The project was specifically developed to maximize competitiveness of the excellent renewable resources in the area, enhance local value creation, and minimize capex in relation to output. An Environmental and Social fatal flaw screening was also conducted as part of a fatal flaw analysis.
Norconsult conducted preliminary hourly (for a typical year) and yearly (over the project lifetime) simulations of energy balance and end product output, which included energy supply for PV/wind, banking/grid use, excess power, and electricity use per key plant component. Leveraging the sizing and energy modelling, Norconsult also provided a high-level layout for the process plant, amended with high-level process deliverables.
Result
Norconsult's deliverables included the preparation of a comprehensive financial model to aid the Consortium with estimations of competitive product pricing. The box level design, system sizing simulations, high-level layouts, process flow diagrams, electricity, gas, and water flows, CAPEX/OPEX estimates, and the determination of LCOA formed a crucial part of the service provided.
The project sizing proposed and agreed upon with the Consortium comprised approximately 2000 MW of installed electrolyzer capacity and around 1 million tons of nameplate ammonia production capacity. Norconsult's contributions have laid the technical and financial groundwork for future development and realization of this project, supporting the Consortium's vision for a thriving green economy in Morocco