Hy2gen aims for 2028 groundbreaking on EU-backed 100MW Danish hydrogen plant

Project developer Hy2gen is eyeing a 2028 start-of-construction date for its 100MW Albatros green hydrogen plant in Denmark, which secured almost €140m ($158.9m) in subsidies through an EU auction.

Hy2gen, which had not previously revealed details on the project, said the plant in Kassø will connect to the planned Danish hydrogen backbone to supply green hydrogen to German end-users.

Having secured 10-year subsidies of €0.97/kg ($1.10) through the third European Hydrogen Bank auction, the firm said the 14,400-tonne-per-year plant could be online by 2031.

The output will be used to pursue targets in the bloc’s Renewable Energy Directive III and, according to Hy2Gen, could negate almost 1 million tonnes of carbon dioxide (CO2) emissions over ten years.

Hege Økland, Managing Director at Hy2gen Nordic, called Albatross “the right project” to address increasing hydrogen demand in Germany.

In May, the Hydrogen Bank selected nine projects, allocating over €1bn ($1.18bn) in subsidies lasting ten years and ranging from €0.44 ($0.52) to €3.49 ($4.11) per kilogramme.

Denmark’s Esbjerg project by MorGen Energy was also selected, winning €0.95/kg ($1.08) subsidies. Initially due for a 1GW capacity, it is set to go ahead with a 300MW development to feed up to 445,000 tonnes of hydrogen into Denmark’s hydrogen pipeline.

A separate German national hydrogen auction also awarded three Danish projects up to €1.3bn ($1.47bn) in subsidies to supply green hydrogen to German end-users.

Denmark has been positioned as a strong potential green hydrogen producer due to its high offshore wind capacity.

However, the Danish Hydrogen Backbone was delayed from its original start date of 2028, with transmission system operator Energinet citing increased complexity and longer planning and environmental processes.