Brazil courts Namibia on green hydrogen
Keen to explore opportunities
South America's biggest economy says it wants to cooperate with Namibia to establish a green hydrogen industry locally, and in Brazil.
Brazil is keen to cooperate with Namibia regarding the development of a green hydrogen industry locally and in that country. These sentiments were shared by the Brazilian ambassador to Namibia, Vivian Sanmartin, who is currently leading a delegation of Brazilian investors looking for investment opportunities in Namibia. Sanmartin said there was huge scope for cooperation as both countries lead efforts to develop their green hydrogen industries.
“I would like to establish cooperation between our two countries, right now. Green hydrogen will be in high demand in the coming years. It is not competition, it is a cooperation that we can establish regarding research, regarding markets,” she said.
She added that her office would be keen to put an official cooperation in place, highlighting that discussions had been held informally by her office and government representatives on the matter.
“I am not aware that there is a cooperation in place, but I would like to see it. I have discussed this with authorities here, we just have to see how we can reach out and start talking to each other,” she said of efforts to put an official agreement on cooperation in place.
Ready and willing
Sanmartin said her country also stands ready to help Namibia develop its oil and gas resources, adding that Brazil is an experienced player in the deep oil and gas drilling market.
“Brazil has a known tradition of offshore drilling and most of our oil comes from the sea, so there is a plethora of services that can be offered to Namibia, all kinds of equipment and services. From our own knowledge and experience, we are a leader in this field,” Sanmartin said.
Consulting firm McKensy and Company, in an analysis on Brazil, found that it is one of the most competitive places to produce green hydrogen.
A study showed that the levelised cost of green hydrogen (LCOH) produced in Brazil is around US$1.50 per kilogram. “This is in line with the best locations in the United States [US], Australia, Spain and Saudi Arabia,” it said.
According to the firm, Brazil has the potential to be competitive and fight for a share of the US and European Union export markets, capturing US$1 billion to US$2 billion by 2030.
“By 2040, exports could reach US$4 billion to US$6 billion, or two to four million tonnes of green hydrogen,” it said.