Swiss company Synhelion is investing $1bn to develop a solar fuel plant in Morocco, which is expected to produce 100,000 tons of synthetic fuel annually.
The project will be funded through equity, bank loans, and potential European government support, representing a significant expansion into large-scale clean fuel production.
Synhelion selected Morocco for its abundant solar energy resources, raw material availability, and industrial network.
This initiative follows pilot projects in Germany and Spain. CEO Gianluca Ambrosetti shared details in an interview with Asharq Business, noting that the project was initially presented to Morocco’s Minister of Investment, Karim Zidane, during the World Economic Forum in Davos in January.
The plant will utilise Sun-to-Liquid technology, developed by the Swiss Federal Institute of Technology Zurich. This process uses mirrors to concentrate sunlight onto a receiver atop a tower, generating heat exceeding 1,000°C.
This heat drives a reactor that converts methane, carbon dioxide, and water into liquid fuels such as gasoline, diesel, and kerosene, providing a cleaner alternative to conventional fossil fuels.
Synhelion aims to lower the cost of solar fuels to approximately $1 per litre, making them economically competitive. Industrial partners, including Lufthansa in aviation, Eni in energy, and AMAG in automotive manufacturing, are supporting the initiative to enhance the commercial viability of synthetic fuels.
This investment aligns with global efforts to reduce fossil fuel dependence and emissions while ensuring a stable fuel supply for key industries. Morocco’s participation underscores its strategic role in renewable energy.
With backing from major industrial players, Synhelion’s initiative represents a significant step toward advancing sustainable fuel production and addressing global energy demands.
