It will mark the first phase of the company’s €3bn ($3.5bn) Andalusian Green Hydrogen Valley, which plans to install 2GW of electrolyser capacity across two sites.

The initial 300MW in Huelva, named Onuba, will see UAE-state-owned renewables firm Masdar and the Enalter subsidiary of Spanish grid operator Enagás take minority stakes.

Moeve, formerly known as Cepsa, said this phase would require over €1bn ($1.17bn) of investment, including “associated infrastructure” and a solar plant.

The company will reserve the option to expand the site by another 100MW, subject to grid availability and board approval.

CEO Maarten Wetselaar said the FID laid the foundation for large-scale hydrogen production in southern Spain.

“This decision places Moeve at the forefront of providing clean energy solutions to boost Europe’s industrial competitiveness and energy security,” he said.

In a LinkedIn post, Wetselaar said the project would produce up to 45,000 tonnes of green hydrogen per year for use in “heavy transport, aviation, and the maritime sector, as well as the chemical and fertiliser industries.”

German electrolyser maker Thyssenkrupp Nucera was previously selected to provide 15 of its 20MW alkaline systems for the first phase in Huevla.

Last April, the company was awarded €303m in funding from Spain’s Ministry for Ecological Transition.

While specific offtakers for the 300MW plant have not been revealed, Moeve had previously announced early-stage deals with fertiliser firm Fertiglobe and energy firm Getec.

Last year, it also said it would explore developing sustainable aviation fuels as part of the wider hub under a memorandum of understanding with Sasol-Topose joint venture Zaffra.

It adds to Spain’s growing green hydrogen sector as the country aims to position itself as a European hydrogen hub, leveraging strong renewable resources, port infrastructure, and rising domestic demand.

In 2024, the government unveiled plans to see green hydrogen meet 74% of its industrial hydrogen demand by 2030 and treble its installed electrolyser capacity target to 12GW.