Formalised with the signing of a memorandum of understanding (MoU), the agreement will see the companies jointly establish and directly connect a facility for green hydrogen production to a planned offshore wind farm.

In doing so, the facility will have a capacity of around 600MW and thus this would make the project one of the largest in Sweden and Europe, the companies said.

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Harnessing this potential 1GW of wind energy will enable the production of around 240 tonnes of green hydrogen per day.

The project could also enable great potential in connecting to the Nordic Hydrogen Backbone. The various industries and ongoing projects located in the surrounding region represent many potential offtakes of the renewable hydrogen that will be produced on site.

Olle Hedberg, CEO at wpd Offshore Sweden, said, “We are very pleased and proud that we have landed in this partnership with Lhyfe, which is one of Europe’s most advanced and promising players in the production and supply of green hydrogen.

“Lhyfe possesses the key expertise needed for this type of long term investment and complements wpd in terms of technical skills.

“The project and the collaboration with Lhyfe are an important part of our strategic work in the Swedish market, where we are convinced that hydrogen has a crucial role if we are to meet the energy transition and Sweden’s ambitious climate goals.”

Björn Santana Arvidsson, Area Manager of Nordics & UK at Lhyfe, said, “We are very expectant of taking the next step to realize our plans together with wpd, which is an important enabler through its wind park project Storgrundet.

“wpd’s strong developments in offshore wind create the long-term cost level for the production of green electricity that is needed to realize large-scale production of green hydrogen at the right cost level, to enable an industrial long-term conversion to fossil-free… now!

“We look forward to continuing to make a decisive contribution to the realisation of such projects. The ambition is high, the capacity is solid and the future is secured by us taking the right steps at a fast pace.”