Consortium agrees to set up green hydrogen supply chain between Portugal and the Netherlands

A consortium of companies, led by oil supermajor Shell, has agreed to jointly develop a supply chain for green hydrogen between the Port of Sines and Rotterdam by 2028.

PHOTO: The Europoort area in the Port of Rotterdam. Getty Images

Renewable hydrogen will be produced by an electrolysis process in the industrial zone in the Port of Sines. It will be converted into liquified hydrogen, before being shipped on liquified hydrogen carriers to Rotterdam for further distribution and sale. The first shipment is expected in 2028.

Besides Shell, the consortium comprises French utility firm ENGIE, Dutch terminal company Vopak and Rotterdam-based gas shipping company Anthony Veder.

The project, dubbed H2Sines.RDAM is supported by the Port of Rotterdam and Port of Sines, Dutch energy company Gasunie, Portuguese energy firm REN, and ABN AMRO.

This project development follows the signing of an agreement in 2020 between the Portuguese and the Dutch governments to develop strategic maritime hydrogen corridors.

The Port of Rotterdam has been increasing its efforts to set up a hydrogen supply chain across Europe.

The port authority has recently collaborated with UK-based Net Zero Technology Centre to form an international consortium for the development of a low- and zero-carbon hydrogen supply chain on the European continent.

The Port of Rotterdam aims to supply northwest Europe with 4.6 million mt/year of green hydrogen by 2030 through imports and domestic production. The EU intends to produce 10 million mt/year of green hydrogen by 2030 and import another 10 million mt/year under its REPowerEU plan.

By Shilpa Sharma

Please get in touch with comments or additional info to news@engine.online