The project has now been granted funding from the UK government's Hydrogen Business Model and Net Zero Hydrogen Fund

ZURICH, Dec. 14, 2023 /PRNewswire/ -- H2 Energy Europe, a developer of large-scale green hydrogen eco-systems, announces the award of government funding for its 20MW electrolytic hydrogen production facility at the port of Milford Haven, the first of its kind in South Wales.

The UK aims to establish up to 10GW of low-carbon hydrogen production by 2030, with at least half of production anticipated to come from electrolytic hydrogen, drawing on the scale-up of UK offshore wind, other renewables and nuclear energy.

H2 Energy Europe's project has been chosen for financial Hydrogen support as part of the UK government's Hydrogen Business Model and Net Zero Hydrogen Fund.

The funding agreement is anticipated to be signed in January 2024 and planning permission for the facility has already been granted. The Final Investment Decision (FID) is expected in the first quarter of 2024, with commissioning in 2026. When in operation, the facility will enable industrial users to transition to using green hydrogen produced from domestic renewable energy sources. It will also create permanent, high-skilled jobs and safeguard existing ones by transitioning the workforce from managing petroleum product storage to specialising in handling green hydrogen.

Julian O'Connell, Project Director of H2 Energy Europe, said: "We very much welcome the support that the UK government and Pembroke County Council have given to our project. The interest that we've already received from local industry means we are already reviewing the opportunity to scale-up the facility."

The green hydrogen produced at Milford Haven will fuel a variety of applications across South Wales including shipping and industrial power. It will also serve as a chemical feedstock, underscoring the versatility of green hydrogen in supporting diverse industries, including major local companies like Sofidel, a leading global producer of tissue paper.

Giuseppe Munari, Country Operations Manager of Sofidel UK said: "H2 Energy Europe's pioneering approach in green hydrogen production aligns with our vision for a multi-faceted energy strategy, where green hydrogen will play a key role in significantly reducing the carbon emissions from our operations. The UK government's support is fundamental in this transition."

Julien Rolland, CEO of H2 Energy Europe said: "We are very grateful for the support that the UK Government has announced for our 20MW electrolytic hydrogen production facility. H2 Energy Europe is exploring additional opportunities for hydrogen projects in the UK including midstream services with our award-winning hydrogen transport and storage container system to support and advance the local hydrogen economy. The interest that we've already received from local industry means we are already reviewing the opportunity to scale up the facility."

Notes for Editors:

About H2 Energy Europe

In 2020, Trafigura announced that it would invest in H2 Energy and formed a joint venture, H2 Energy Europe, to build green hydrogen eco-systems in Europe. In October 2023, Trafigura became the majority owner of H2 Energy Europe. Major projects covering different parts of the hydrogen value chain include working towards a final investment decision on a 1GW scale green hydrogen project in Esbjerg, Denmark converting offshore wind power and a 20MW green hydrogen project in Milford Haven, South Wales. H2 Energy Europe is also working towards the roll out of a hydrogen refilling station network with sites along major transport routes across Germany.

About the West Wales Hydrogen Project

H2 Energy Europe's project will be strategically located within the port of Milford Haven on a site formerly occupied by the decommissioned Milford Haven oil refinery. The initiative will draw on power from both new and existing offshore and onshore wind farms, supplying energy to remote locations and supporting the decarbonisation of industrial processes. This project is expected to serve as a collaborative platform, bridging the gap between industry and academia by fostering research and innovation in hydrogen and fuel cell technology.

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