UK-based start-up Jearrard Energy Resources Limited (JER) says it has inked an agreement with a potential for a £25 billion ($33.1 billion) bond raise for a green hydrogen project.

The MOU signed with Australian financier Carbon Capital Corporation (CCC) and Luxembourg-based advisory group Green Bond Corporation (GBC) targets funding of its 12-gigawatt (GW) project in Mozambique.

Under the deal, CCC will lead the carbon feasibility and climate finance structuring for the project. The financier will also collaborate with GBC for access to the latter’s expertise in bond programmes to support the project’s long-term development plans.

Powered exclusively by solar energy, the 12-GW electrolysis capacity is expected to produce 4,000 tonnes/day of “cost-competitive” green hydrogen. JER claims the project will be one of the world’s largest solar-powered hydrogen production hubs.

Marcus Allington, ceo of JER, notes the MOU represents a “transformational milestone” for the company and for Africa’s role in the global energy transition. “We now have a clear roadmap to finance and to execute one of the largest green hydrogen projects on the planet – a project that will not only power industries globally but also provide sustainable energy for Mozambique’s future,” he adds.

Allington confirms to Kallanish that construction will commence in the first quarter of 2026, building 48 units of 250 megawatts. Once the first unit is completed, the company aims to bring online the rest of the project in batches of 4 GW. Hydrogen deliveries from the first 250-MW unit are anticipated in December 2026. 

The ceo says the mega project has already reached a final investment decision, with the JER board shortlisting “various funding routes which will form the basis of the investment.” He claims the company has also signed two MOUs for offtakes, one with a “UK-based end user and wholesale supplier.” The second is with a space launch company operating launch facilities in Southern Africa and Asia, at a price of $7.28/kg cif.

The project will also feature a 125-kilometre pipeline and a new port, with most of the fuel to be exported to Asia, including India, as well as to Europe and the Pacific Rim.

That said, Allington adds there is a growing domestic market for hydrogen's use in the power and transport sectors.

If successful, the mega project would overtake the NEOM green hydrogen project in Saudi Arabia as the world’s largest utility-scale green hydrogen facility. It is expected to produce up to 600t/day of green hydrogen, starting in 2026.