Shell PLC (LSE:SHEL, NYSE:SHEL) said it is starting construction on a green hydrogen plant in the Netherlands that will be Europe’s largest once it is operational in 2025.
Named Holland Hydrogen I, the energy giant said the 200-megawatt electrolyser in Rotterdam would be able to produce 60,000 kilograms of renewable hydrogen per day.
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Energy for the electrolyser, a system that uses electricity to break water into hydrogen, will come from offshore wind farm Hollandse Kust, which Shell part-owns.
The hydrogen produced will be used to supply the Shell Energy and Chemicals Park in Rotterdam, replacing some of the grey hydrogen, which is derived from fossil fuels.
This, according to a statement, will partially decarbonise the facility’s production of energy products like petrol and diesel.
It follows an agreement made by Shell with Ceres Power last month, with the latter delivering a megawatt-scale solid oxide electrolyser (SOEC) demonstrator next year, and an April deal to produce hydrogen in a collaboration with German utility Uniper.
“Holland Hydrogen I demonstrates how new energy solutions can work together to meet society’s need for cleaner energy,” said Anna Mascolo, executive vice president of Emerging Energy Solutions at Shell.
“It is also another example of Shell’s own efforts and commitment to become a net-zero emissions business by 2050.”