CIP reveals Portuguese green hydrogen plan
- Fund to partner with Madoqua Renewables and Power2X on EUR1bn plant
Copenhagen Infrastructure Partners' Energy Transition Fund (CIP) has coordinated with Portuguese project developer Madoqua Renewables (Madoqua) and consultancy Power2X (Power2X) to create a EUR1bn green hydrogen and ammonia plant.
The industrial-scale MadoquaPower2X project will certainly be based in Sines, Portugal, and is anticipated to create 200+ direct and indirect jobs.
MadoquaPower2X will utilize renewable energy and 500MW of electrolysis capacity.
It is the initial project to be set up at the future energy and technical hub of Sines, with an industrial scale manufacturing of 50,000 tonnes of green hydrogen and 500,000 tonnes of green ammonia annually.
This project is the initial actual action in the execution of a new energy shift model, of which Portugal is an early mover, asserting itself as a relevant player in the new energy world order.
The hydrogen produced under this project can be made use of by the neighborhood market along with processed to create green ammonia for export from the terminal at port of Sines.
Madoqua president Rogaciano Rebelo claimed: "We are proud to bring this solid consortium to Portugal and collaborate with partners throughout the green hydrogen and hydrogen derivatives value chain.
" Portugal is structurally well positioned to play a leading role in the emerging energy transition space in Europe.
" The project, along with the advancement of devoted renewable power generation assets, will certainly contribute significantly towards Portugal's National Hydrogen Strategy (EN-H2).".
Electricity will certainly be sourced from renewable power created in Portugal, in particular from renewable energy communities for wind and solar plants that are being established in parallel.
This strategy will make certain schedule of dedicated renewable resource throughout the lifetime of the project.
The project is currently under advancement and is expected to be totally allowed and prepared for a final investment decision by the end of 2023, with building and construction to commence after that and initially hydrogen manufacturing by the center of the decade.
Power2X chief executive Occo Roelofsen claimed: "Power2X is delighted to establish this flagship project together with our partners in order to increase Europe's energy transition and contribute significantly to the 2050 net-zero target.
" MadoquaPower2X will pave the way for decarbonisation of critical industrial procedures and minimized dependence on natural gas imports.".
MadoquaPower2X, including future phases, will make significant contributions towards Portugal's National Hydrogen Strategy (EN-H2) by 2030.
Particularly, the project will certainly contribute nearly 25% of Portugal's envisaged 2GW electrolyser capacity by 2030, CIP stated.
The integrated hydrogen and ammonia project is anticipated create 1,000 (direct and indirect) jobs, consisting of future phases, which equates to 10% to 12% of new job production targets.
In addition, at EUR1bn of investment, the project will certainly contribute 10% to 15% of Portugal's hydrogen investment targets.
Furthermore, if preferred over ammonia production, MadoquaPower2X can satisfy 100% of Portugal's gas grid hydrogen injection targets, CIP stated.
Last but not least, as this project has the capacity to consume all in your area produced hydrogen for ammonia manufacturing, it sustains the Sines green hydrogen loophole initiative as one of the biggest releasing customers.
The consortium members are checking out opportunities with stakeholders to more broaden the project to potentially create 1 million tonnes of green ammonia per year, lowering CO2 emissions by up to 1 million tonnes per annum.
Subsequent phases will commence advancement in 2024, with full commissioning before 2030.
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