BERLIN/FRANKFURT, Jan 6 (Reuters) - German energy firm HH2E will buy 120 megawatts worth of hydrogen production capacity from Norway's Nel ASA, it said, reflecting efforts to ramp up Germany's renewables capacity to compensate for Russian fuel imports and meet climate targets.
HH2E said its capacity order, with a value of more than 30 million euros ($32 million), is the largest to date in Germany for green hydrogen, which is produced using renewable energy to power electrolysis plants that split water into hydrogen.
The two parties are expected to sign the final purchase of the order in the next three months, HH2E said, adding that it expects its Lubmin plant in north eastern Germany to start producing green hydrogen in the second half of 2025.
"One of the prerequisites for reaching our growth ambitions is the availability of high-quality electrolysers in Europe, such as the ones that Nel will supply," HH2E co-founder Alexander Voigt said.
Nel, which competes with Germany's Thyssenkrupp Nucera , Britain's ITM Power and France's McPhy Energy SAS, said the two 60 megawatt facilities could be significantly expanded in later stages.
Friday's announcement comes following a visit by German Economy Minister Robert Habeck to Norway where the two countries announced cooperation plans to secure future green energy supply. ($1 = 0.9508 euros) (Reporting by Riham Alkousaa and Christoph Steitz, editing by Emma-Victoria Farr and Paul Carrel)
Itm Power (ITM)