29-08-2024

Lhyfe, OX2, and Velarion unite to create one of Europe’s largest green hydrogen driven industrial cluster in Ånge municipality

Lhyfe, a global leader in green hydrogen production, OX2, one of Europe’s largest onshore wind developers, and Velarion, an innovative company within green fertiliser sector founded in Ånge, are joining forces to create a hydrogen-based industrial cluster in Ånge municipality. This project, situated in Grönsta just north of Torpshammar, will combine wind power with large-scale green hydrogen production to generate carbon-negative neutral products.

OX2 is developing a wind farm in Marktjärn, Torpshammar, with a planned annual production capacity of 1.4 TWh. According to the project, this green electricity will power the hydrogen production unit that Lhyfe plans to install in Torpshammar with a capacity of up to 100 tonnes of green hydrogen per day (electrolysis capacity of approximately 300 MW). Lhyfe produces green and renewable hydrogen through the electrolysis of water, at production units powered by renewable energy.

“We are excited about the potential of this project, which will utilise electricity from wind farm Marktjärn to power a green industrial cluster, enabling sustainable local industry and enhance the attractiveness for further industrial establishments in Ånge,” said Anders Nilsson, Head of Onshore Wind, OX2.

“Due to the large potential production capacity, we are in dialogue with several companies that aim to refine hydrogen and its by-products. These collaborations will help build a local ecosystem that contributes to the region’s economy and job creation”, said Sara Wihlborg, Country Manager Sweden at Lhyfe.

Velarion, a key partner in this initiative, would build one of the world’s first carbon-neutral fertiliser plants within this cluster. According to the project, this state-of-the-art facility would utilise green hydrogen to produce green ammonia, significantly reducing carbon emissions in fertiliser production. The green ammonia will cater to the increasing market demand for sustainable products.

The project is now entering the conceptual phase. Implementation of the project will be subject to the conclusions of this study, the granting of operating licenses and environmental permits, and financial investment decisions.

Together, Lhyfe, OX2, and Velarion are making this industrial cluster possible, leveraging advanced technology to establish Ånge as the region’s green hub. The long-term positive effects are set to position the municipality as a leading player in the sustainable industrial sector, attracting more companies.