Lhyfe, a global leader in green and renewable hydrogen production, has recently secured a grant worth up to SEK 125.6m (around €11m) from Klimatklivet, an investment programme backed by the Swedish Environmental Protection Agency. This funding will be used to establish a local renewable hydrogen production system in Trelleborg, the southernmost city in Sweden.

Source: Lhyfe

Trelleborg is a significant transport hub, housing the largest roll-on roll-off harbour in Scandinavia. It handles 10% of Sweden's import and export annually. As more transport and logistic companies are transitioning to less polluting vehicles, including hydrogen-powered electric vehicles, the demand for green hydrogen is set to increase significantly.

Lhyfe's new plant will be capable of producing up to four tons of green hydrogen daily, based on a 10 MW installed electrolysis capacity. This will provide a substantial supply for the hydrogen refuelling stations that are being built in this region, supporting the creation of a sustainable mobility network. The first production of green hydrogen from this plant is anticipated in 2027.

The Klimatklivet grant will cover approximately 40% of the total projected investment in the project. It will be used for the development and design stages, equipment procurement and construction work.

Lhyfe has a proven track record in producing green, renewable hydrogen through water electrolysis, powered by renewable electricity. The company has been operational since the second half of 2021, with its first plant located in Bouin, Pays de La Loire in France. By the end of 2023, Lhyfe had operated two additional sites in Occitanie and Brittany and had five more sites either under construction or expansion across Europe. Lhyfe employs 195 individuals committed to renewable hydrogen production, with projects in 12 countries and a project pipeline of around 10 GW in Europe.

We are very happy to have been awarded this grant, which is the first project we have been granted subsidies for in Sweden and which we see as a clear reward of our efforts and as the recognition of our expertise in the production and delivery of green hydrogen to multiples customers over the last two years. It is also a proof of us going the right direction in Sweden, and we would like to reiterate our commitment to the Swedish environmental agenda and welcome the fact that Sweden is focusing on the rapid expansion of a hydrogen infrastructure based on renewable energies. This project will contribute towards providing green hydrogen for the mobility sector in the South of Sweden. It will support our objective to increase the penetration of green hydrogen throughout Sweden both for mobility and industry.

Sara Wihlborg, Country Manager Sweden at Lhyfe

The project's realisation is contingent upon obtaining operating authorisations and construction permits, and final financial investment decisions.