LONDON: Sound Energy, a transition energy company, has signed an exclusive term sheet with renewable energy specialist Gaia Energy Ltd. to develop up to 270 megawatts of solar power capacity across multiple sites in Morocco, the company announced Tuesday.
The proposed joint venture will leverage Morocco’s liberalized medium-voltage (MV) grid, targeting at least 10 locations near MV substations to optimize energy distribution to customers. Gaia has already begun feasibility studies, including solar irradiation measurements, land access evaluations, and grid connection assessments. Once the joint venture is formalized, the partners will proceed with grid capacity applications, regulatory approvals, and power purchase agreement (PPA) negotiations.
Morocco’s Renewable Energy Push
Morocco has set ambitious goals to reduce fossil fuel dependence and boost renewable energy production. According to recent data, over 90% of the country’s primary energy consumption in 2023 came from fossil fuels, while only 7% of its 11.5 gigawatts of installed power capacity was solar-based—despite Morocco’s abundant sunshine, with more than 3,100 hours of sunlight annually.
The country’s energy demand is rising as it prepares to host major sporting events, including the 2030 FIFA World Cup, which will feature new stadiums in Casablanca and Fez. Morocco also remains connected to the European grid via Spain, with electricity imports surging earlier this year.
Natural Hydrogen and Helium Exploration Advances
In a separate development, Sound Energy announced the completion of a regional screening study for natural hydrogen and helium in Morocco, conducted in collaboration with Getech Group Plc, a global energy and mineral resource specialist. The study, part of an exploration agreement signed in October 2024, identified high-potential areas warranting further investigation.
The companies plan to form a joint venture to secure exclusive exploration rights and advance toward geophysical surveys and drilling.
“The study has yielded several high-potential targets that will now be the focus of our next phase of evaluation,” said John Argent, Sound Energy’s VP of Geoscience. “This is a meaningful step forward in establishing a leading position in the emerging natural hydrogen and helium sector.”
Morocco’s Potential as a Hydrogen Hub
Morocco’s geological conditions make it a prime candidate for natural hydrogen exploration. Often referred to as “white” or “gold” hydrogen, the resource could disrupt the energy market with production costs as low as $1 per kilogram—significantly cheaper than green hydrogen alternatives.
Helium, a critical raw material for medical, aerospace, and tech industries, is frequently found alongside hydrogen, enhancing the economic viability of such projects.
Sound Energy’s dual focus on solar and hydrogen underscores Morocco’s growing role in the global energy transition as it seeks to capitalize on its renewable resources and strategic location.