Iberdrola to build €750m green hydrogen plant in Southern Europe to supply ammonia to world-leading exporter
US-based Trammo to purchase and sell up to 100,000 tonnes of renewable ammonia a year from the facility by 2026, with a view to exporting the output to Northern Europe
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The US company will buy the entire output from the facility — which will party financed by “European funding” — with plans to sell a large part of it in Northern Europe.
“This project aims to kickstart the European green hydrogen corridor,” the company said in a statement. “Southern Europe has a large renewable potential that allows it to supply competitive green energy to decarbonize the various energy-intensive heavy industry all across the continent such as the Netherlands, Germany or France.”
“When you bring together one of the world's largest renewable energy developers and the world's largest seaborne trader of anhydrous ammonia, innovative projects like this can quickly become viable,” said Millán García-Tola, Iberdrola's global head of green hydrogen.
“For the past year, we have been operating Europe's largest green hydrogen plant, which gives us the experience and understanding of the processes and technology to scale-up quickly to these larger projects.”
Green ammonia can be used to decarbonise existing uses, such as fertilizer and chemical production, and can also be used directly as a marine fuel. Some countries, including Germany, are considering importing ammonia (NH3) and cracking it back into hydrogen and nitrogen — a fairly expensive process that requires large amounts of energy.