How to Start an Industrial Gases (O₂/N₂/Ar) Plant in Morocco

How to Start an Industrial Gases (O₂/N₂/Ar) Plant in Morocco

To start an industrial gases (O₂/N₂/Ar) plant in Morocco, you need to secure industrial land, acquire the appropriate air separation unit (ASU) technology, obtain local environmental and safety permits, and ensure access to key markets such as healthcare, manufacturing, and welding. This process involves strategic planning, significant capital investment, and compliance with Moroccan industrial regulations.


Why Morocco is a Strategic Location

Morocco is quickly becoming a regional industrial hub in North Africa. With its:

  • Proximity to Europe
  • Government support for manufacturing
  • Expanding healthcare and automotive sectors
  • Stable political climate

the country offers a promising market for oxygen (O₂), nitrogen (N₂), and argon (Ar)

How to Open a Company in Morocco (Step-by-Step)

Before building your plant, you must legally register your business. Here’s a clear roadmap to starting a company in Morocco as a foreign or local investor:

Most common types for industrial gas businesses:

  • SARL (LLC) – Limited Liability Company, ideal for SMEs and industrial setups.
  • SA (PLC) – Public Limited Company, for large-scale investors and partnerships.

For most gas plant investors, SARL or SARL-AU (single owner LLC) is the most efficient choice.

2. Reserve the Company Name

Do this through:

3. Draft the Statutes (Articles of Association)

This document outlines:

  • Company name
  • Activities (gas production, distribution, etc.)
  • Capital
  • Owner/shareholders’ details

Recommended to work with a local business lawyer or notary.

4. Open a Business Bank Account

  • Deposit your company’s initial capital (e.g., 10,000 MAD minimum for SARL)
  • Bank will issue a certificate of deposit, required for company registration

5. Register Your Business with the Regional Investment Center (CRI)

At your local CRI (Centre Régional d’Investissement), you can complete:

  • Commercial registration (Registre de commerce)
  • Tax ID (Identifiant Fiscal)
  • Social Security affiliation (CNSS)
  • Professional tax registration (Patente)

Processing time: Usually within 3–7 business days

6. Register for CNSS & Tax Authority

This ensures your business is:

7. Obtain Necessary Permits

For industrial gases, you’ll also need:

Possibly import licenses (for machinery or ASU units).

Environmental Impact Assessment (EIE) approval

Safety compliance (fire and hazardous materials)


Step-by-Step Guide to Starting Your Plant

1. Conduct Market Research

Understand the demand for:

  • Oxygen – Hospitals, metal cutting, and chemical processes.
  • Nitrogen – Electronics, food packaging, and pharmaceuticals.
  • Argon – Welding, lighting, and electronics.

Identify potential customers like:

  • Public and private hospitals
  • Industrial manufacturing units
  • Welding and metal fabrication companies

2. Business Plan & Financial Modeling

Create a business plan with:

  • CAPEX and OPEX estimates
  • ROI projections
  • Demand-supply analysis
  • SWOT assessment (Strengths, Weaknesses, Opportunities, Threats)

Note: The CAPEX can range between $2 million to $20 million, depending on plant size and automation level.

3. Choose the Right Technology

Install an Air Separation Unit (ASU) using cryogenic distillation – the most reliable and scalable method for producing pure gases.

Key Components:

  • Compressors
  • Heat exchangers
  • Expansion turbines
  • High-purity gas storage systems

4. Acquire Land & Infrastructure

Select an industrial zone with:

  • Access to the national power grid
  • Water availability
  • Good transportation links (near ports if exporting)

Recommended Zones:

5. Get Regulatory Approvals

You’ll need to register your company with OMPIC (Moroccan Office of Industrial and Commercial Property) and obtain:

  • Environmental Impact Assessment (EIA)
  • Safety certifications (fire, pressure systems)
  • Operational licenses from the Ministry of Industry and Trade

6. Secure Equipment & Build the Plant

Source machinery from reputable suppliers such as:

  • Linde Engineering
  • Air Liquide
  • SIAD Macchine Impianti

Partner with EPC contractors familiar with Moroccan standards.

7. Hire & Train Staff

Recruit:

  • Plant engineers
  • Safety officers
  • Logistics and quality assurance teams

Consider working with local vocational schools and engineering faculties for skilled labor.

8. Marketing & Distribution

Develop B2B relationships. Key strategies:

  • Offer long-term supply contracts
  • Provide gas cylinders and cryogenic tank delivery
  • Setup a local sales and support office

Key Considerations

  • Power Consumption: ASUs are energy-intensive. Consider integrating solar or wind energy to reduce long-term costs.
  • Logistics: Cryogenic gases need specialized transportation—liquid tanks, high-pressure cylinders.
  • Safety: Follow international standards such as ISO 14114 and OSHA-compliant systems.

Cost Breakdown Example

ItemEstimated Cost (USD)
ASU Equipment$1M – $10M
Land and Construction$500K – $2M
Licensing and Legal$50K – $100K
Staffing and Training$100K – $300K
Marketing and Logistics$100K – $500K

FAQs

Is there demand for industrial gases in Morocco?

Yes, sectors like healthcare, manufacturing, food processing, and automotive are growing rapidly and need constant supply of oxygen, nitrogen, and argon.

Can I export gases from Morocco?

Absolutely. Morocco’s proximity to Europe and West Africa, especially via Tangier Med Port, makes it an ideal export hub.

Is financing available in Morocco?

Yes. Explore:

  • Moroccan government incentives for industrial projects
  • Bank loans (BMCE Bank, Attijariwafa)
  • International funds such as IFC or AfDB

Final Thoughts

Launching an Industrial Gases Plant (O₂/N₂/Ar) in Morocco is not only profitable but also strategic given the country’s booming industrial and healthcare infrastructure. With the right technology, local partnerships, and regulatory compliance, you can position your business as a leader in the region’s gas supply chain.

Start Your Industrial Gases Plant in Morocco – Let’s Meet!

Get expert advice on launching your Oxygen (O₂), Nitrogen (N₂), or Argon (Ar) production plant in Morocco. We offer a free face-to-face consultation to help you understand the legal setup, technology, costs, and market entry – all tailored to your needs.