A group of Portuguese energy and industrial majors and their European partners have banded together to assess the feasibility of setting up a gigawatt-scale cluster for the production of green hydrogen in Sines, Portugal.
Electric utility EDP - Energias de Portugal SA (ELI:EDP), oil-and-gas company Galp Energia SGPS SA (ELI:GALP), gas and power grid manager REN - Redes Energeticas Nacionais SGPS SA (ELI:RENE), industrial group Martifer SGPS SA (ELI:MAR) are joined by Danish turbine maker Vestas Wind System A/S (CPH:VWS) and other unnamed European entities in the feasibility study of the H2Sines project.
The pan-European partners signed a memorandum of understanding (MoU) to evaluate the feasibility of creating a value chain for the export of green hydrogen from Sines to Northern Europe and establishing production for the Portuguese industrial and transport sectors.
According to a joint statement, the first phase will install a 10-MW pilot electrolysis project. The capacity could grow to 1 GW by the end of the decade, accompanied by 1.5 GW of renewables installed in the long term to power the electrolysers.
The project will be developed gradually to optimise hydrogen production volumes and consumption, along with the cost competitiveness of the technologies involved, the partners said.
The H2Sines project will seek to cover the entire value chain, from renewable power generation, hydrogen production and its distribution, transport, storage, marketing and export.
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