Madoqua Renewables (a Portuguese project developer) announces a partnership with Power2X (a Dutch energy project developer) and Danish fund manager Copenhagen Infrastructure Partners (CIP) to build MadoquaPower2X, a €1 billion industrial-scale project for the production of green hydrogen and ammonia in Sines, Portugal.
MadoquaPower2X will use renewable energy and 500 MW of electrolysis capacity in Sines to produce 50,000 tonnes/year of green hydrogen and 500,000 tonnes/years of green ammonia.
The hydrogen produced under this project can be used by the local industry and processed to create green ammonia for export from the terminal at the port of Sines. The final investment decision will be made by 2023, with the first hydrogen production planned for the middle of the decade.
Electricity will be sourced from renewable power produced in Portugal, particularly from renewable energy communities for wind and solar plants to be developed in parallel.
The consortium members are exploring opportunities with stakeholders to expand the project further to potentially produce 1 million tonnes/year of green ammonia, reducing CO2 emissions by up to 1 million tonnes/year. Subsequent phases will begin development in 2024, with full commissioning before 2030.
MadoquaPower2X, including future phases, will contribute to Portugal’s National Hydrogen Strategy (EN-H2) by 2030. In particular, the project will contribute nearly 25% of Portugal’s envisaged 2GW electrolyser capacity by 2030.
If preferred over ammonia production, MadoquaPower2X could meet 100% of Portugal’s gas grid hydrogen injection targets.
Rogaciano Rebelo, CEO of Madoqua, said, “The project, along with the development of dedicated renewable power generation assets, will contribute significantly towards Portugal’s National Hydrogen Strategy (EN-H2).”
Occo Roelofsen, CEO of Power2X, commented, “MadoquaPower2X will pave the way for decarbonisation of critical industrial processes and reduced dependency on natural gas imports”.
João Galamba, Portuguese Secretary of State of Environment and Energy, added, “This important investment represents the actual implementation of Portugal’s National Strategy for Hydrogen, in line with the European Industrial Strategy, as well as the more recent measures proposed by the European Commission on Repower EU”.
Philip Christiani, Partner at CIP, noted, “Sines provides an excellent location for this project – proximity to local heavy industry, an existing export terminal and the political will demonstrated by Portugal to be a key green hydrogen leader in Europe.”