Galp – last investment decision choice on eco-friendly hydrogen and HVO / SAF tasks.
The assignments involve a 270 ktpa state-of-the-art biofuels unit, in partnership with Mitsui, and 100 MW of electrolysers for the production of environmentally friendly hydrogen. Both equally units are anticipated to have its 1st start off up for the duration of 2025.
Paula Amorim, Chairwoman, stated:
These projects are some of the major of their type, representing an all round investment decision of c.€650 m.
“This is a sizeable contribution to the start of the new industries of the upcoming in Portugal, putting Galp at the forefront of the improvement of very low carbon options needed for the electricity changeover. The conclusions are dependent on the expectation that the fiscal and regulatory developments in Portugal will not hinder the success of these types of big-scale investments.”
Superior biofuels device
Galp and Mitsui are signing up for forces to produce and current market superior biofuels from Sines by building a 75/25 joint undertaking (JV) and spend in a significant scale 270 ktpa device adjacent to the Sines refinery.
The unit will use waste residues to generate renewable diesel (hydrotreated vegetable oil – HVO) and sustainable aviation gasoline (SAF), making it possible for to stay clear of c.800 ktpa of greenhouse fuel emissions (Scope 3, CO2e), when when compared to its fossil fuels alternate options.
This partnership brings together the large industrial knowledge of each providers, combining Galp’s market place and operational synergies with Mitsui’s international presence, also supporting the procurement of the plant’s feedstock desires.
The plant will use Axens’ know-how and the consortium Technip Energies / Technoedif Engenharia has been chosen as the most important Engineering, Procurement and Construction Administration (EPCM) service provider.
The total investments in the new plant are approximated at c.€400 m.
Galp will run the plant and plans to consolidate proportionally (75%) all enterprises relevant with the JV.
Inexperienced hydrogen device
Galp will spend in the development of a 100 MW electrolysis plant, to make up to 15 ktpa of renewable hydrogen.
This substantial-scale venture will allow for the alternative of c.20% of the current grey hydrogen usage of the Sines refinery and may perhaps direct to greenhouse gasoline emissions reduction of c.110 ktpa (Scope 1 &2, CO2e).
The electrolysers will be provided by renewable energy, originated from very long-time period offer agreements, also leveraging on the Galp renewable electrical power asset base. The device will use industrial recycled h2o, with anticipated yearly consumption representing significantly less than 3% of the ordinary once-a-year desires of the refinery.
Plug Ability was awarded the get for the 100 MW proton trade membrane (PEM) electrolysers, even though Technip Energies will be the major EPCM company.
The full investments for this green hydrogen venture are estimated at c.€250 m.
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Closing Financial commitment Determination on Eco-friendly Hydrogen and HVO/SAF assignments, September 25, 2023