May 12, 2022

Iberia is fast becoming Europe’s green hydrogen hub after fourth large-scale project unveiled this year

A 500 MW green hydrogen plant – one of the largest single-site renewable Hs in Europe2 projects – is to be built in the Portuguese port of Sines by 2025, its developers have announced.

Danish fund manager and offshore wind developer Copenhagen Infrastructure Partners (CIP) has teamed up with Portuguese developer Madoqua Renewables and Dutch consultancy Power2X to build the €1 billion ($1.08 billion) project, which will use 500 MW of electrolysers to produce 50,000 tonnes of green hydrogen and 500,000 tonnes of green ammonia per year.

This is the second large-scale green hydrogen project announced in the Iberian Peninsula by CIP this year, following the unveiling of the 2GW Catalina Project in Spain in February.

An even larger renewable H2 the project – the 7.4GW HyDeal España – was also announced in February, a month after the Repsol-led project 2GW SHINE plan in northern Spain has been revealed. A total of 11.9 GW of green hydrogen projects have been unveiled in the Iberian Peninsula in the last three months alone.

Portugal and Spain should be able to produce green hydrogen more cheaply than other parts of Europe due to their high solar irradiance and relatively strong winds.

The renewable energy needed for the MadoquaPower2X project will come from Portugal, “in particular from renewable energy communities for wind and solar power plants that are being developed in parallel,” CIP said in a statement.

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“Hydrogen produced from this project can be used by local industry as well as processed to create green ammonia for export from the Sines port terminal,” he added.

The partners expect the project to be fully licensed and ready for a final investment decision by the end of next year, “with construction to begin thereafter and first hydrogen production from ‘mid-decade here’.

They also plan to expand the project to one million tons of green ammonia, which would likely require 1 GW of electrolysers.

“MadoquaPower2X will pave the way for the decarbonization of critical industrial processes and reduced reliance on natural gas imports,” said Occo Roelofsen, CEO of Power2X, which is also developing energy transition projects in Europe, Africa and the Middle East. East.

Portugal’s Secretary for Environment and Energy, João Galamba, added: “This significant investment represents the effective implementation of Portugal’s National Hydrogen Strategy, in line with the European Industrial Strategy, as well as the more recent measures proposed by the European Commission on REpower EU”.