Nordex Group to enter the hydrogen market

The Group has recently entered into two strategic joint ventures (JVs): one for the manufacturing of electrolysers, a key component in the production of green hydrogen, and the second for developing large green hydrogen assets. Experts expect demand for hydrogen to grow exponentially by around 700% over the next 30 years. To achieve the target of net zero by 2050, it is required that the majority of this be achieved by clean sources.

José Luis Blanco, CEO of the Nordex Group, explains the rationale behind the company’s hydrogen activities: “With two JVs, the Nordex Group is establishing a presence in the hydrogen value chain, while, in parallel, continuing the company’s strategy of focusing on a low risk profile.”

The JV with Acciona, Nordex H2 S.L, will develop green hydrogen projects in areas with abundant onshore wind resources. These resources are located in areas that are not connected to conventional power grids, and where green hydrogen can also be produced at a competitive cost. Bolstered by the company’s previous project development expertise in wind, the Nordex Group has built an attractive pipeline of green hydrogen projects throughout interesting geographies, for example, in the US and Latin America.

Acciona has bought a 50% stake in this new Nordex Group venture for €68 million – equally shared between Acciona S.A. and Acciona Energía – to fund the further development and expansion of the business.

With a target renewable energy development pipeline of 50 GW, the JV's goal is to develop projects that will produce 0.5 million tpy of green hydrogen within the next 10 years. The first projects would be ready-to-build by 2027.

Each of the projects, whose minimum size will be 1 GW of installed renewable power, will be deployed through strategic agreements with other public and private companies and institutions interested in the production or mass consumption of green hydrogen.

“We are very happy to now accelerate these achievements together with Acciona, a strong partner with extensive expertise in large infrastructure projects,” says José Luis Blanco, CEO of the Nordex Group. “This JV reinforces our shared commitment to a decisive contribution towards the decarbonisation of the world’s economy.”

The second initiative, 'Nordex Electrolyzers', aims to develop, manufacture and market electrolysers using proprietary technology. Both the Nordex Group and Sodena, a public company of the Government of Navarra, will allocate €15 million to this initiative over the next five years to promote the development of a commercial prototype and its first industrial deployment. Experts expect demand for electrolysers to grow from a very marginal capacity base today to 400 GW by 2030.

Read the article online at: https://www.globalhydrogenreview.com/hydrogen/31032023/nordex-group-to-enter-the-hydrogen-market/