Green ammonia production facility planned in Norway’s municipality of Sauda
Hy2gen, an international company specialized in designing, building and operating facilities to produce green hydrogen and green hydrogen-based derivatives, plans to produce green ammonia as a fuel for the maritime sector, in the municipality of Sauda, on the southwestern coast of Norway.
The green ammonia production facility, named Iverson eFuels AS, will be owned by Hy2gen, Trafigura, one of the world’s leading independent commodity trading companies and Copenhagen Infrastructure Partners (CIP), a Danish fund management company focused on renewable energy infrastructure. The consortium plans to invest significant capital in the production, storage and shipping facility which will bring jobs to the local community.
Together with Norconsult, a pre-study was completed in 2021 and the project owners have now started the Front-End Engineering Design (FEED) phase, resulting in a full plan for the construction of the facility by 2023. Following a final investment decision, the commencement of construction is scheduled in the first quarter of 2024, and the facility will be fully operational at the beginning of 2027.
The Iverson project will have an initial electrolyzer capacity of 240 megawatts to produce 600 metric tons of green ammonia per day, with the aim to significantly scale up production in the future. The green ammonia will supply the shipping industry with a zero-carbon alternative marine fuel to traditional fossil fuels.
Ammonia gas becomes liquefied at minus 33 degrees for storage and transportation. The highest safety regulations shall govern Iverson eFuels’ production, storage and delivery process in Sauda.
The project is supported by Agenda Vest and the UllaFørre fund.
About Copenhagen Infrastructure Partners
CIP, headquartered in Copenhagen, Denmark, is a fund management company focused on energy infrastructure including offshore wind, onshore wind, solar PV, biomass and energy-from-waste, transmission and distribution, reserve capacity and storage, and other energy assets. CIP manages eight funds, with approximately EUR 16 billion under management from approximately 100 international institutional investors from Europe, Asia, Australia and North America and multi-lateral organizations e.g., EIB. The Iverson eFuels Project will form part of CIP’s Energy Transition Fund, focused on power-to-x and other next generation renewable technologies in order to facilitate the decarbonization of hard-to-abate sectors such as agriculture and transportation
About Hy2gen AG
Founded in 2016, Hy2gen Group´s mission is to provide eFuels and green feedstock products reaching the highest purity standards and making them accessible and affordable at a competitive price as a sustainable solution at industrial scale for a global distribution.
Hy2gen´s headquarters is based in Germany and is currently planning, building, and investing in the production of green eFuels such as, hydrogen, methanol, ammonia and sustainable aviation fuel at locations in Norway (2019), France (2019), Germany (2016), Canada (2018), USA (2021). Hy2gen’s objective is to become the leader in the production of eFuels worldwide with targeted markets that includes the industry, agriculture, maritime and the mobility sectors. This first-mover advantage is underlined by a current project pipeline in planning and construction of 880 MW and a project pipeline of over 12GW in development.
About Trafigura
Founded in 1993, Trafigura is one of the largest physical commodities trading groups in the world. At the heart of global supply, Trafigura connects the world with the vital resources it needs. Trafigura also owns and operates a number of industrial assets including a majority share of global multi-metals producer Nyrstar and fuel storage and distribution company Puma Energy; and joint ventures Impala Terminals, a port and logistics provider, and Nala Renewables, a power and renewable energy investment and development platform. With over 1,000 shareholders, Trafigura is owned by its employees and employs over 13,000 people working in 48 countries.