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ITM Power PLC (LSE:ITM) has announced the signing of a major contract for the REFHYNE II project, marking a significant step in the expansion of green hydrogen production in Europe. Following Shell’s positive Final Investment Decision (FID), the company will supply 100MW of its TRIDENT stacks and skids to the Shell Rheinland Energy and Chemicals Park in Germany, developing the decarbonization of the Wesseling refinery.
Key Project Details
The REFHYNE II project is created to use renewable electricity to produce up to 44,000kg of renewable hydrogen daily. This hydrogen will be integrated into Shell’s fuel production process, contributing to the partial decarbonization of its Wesseling refinery. The electrolyser, central to this process, is scheduled to commence operations in 2027.
Linde Engineering has been selected as the Engineering, Procurement, and Construction (EPC) integrator for REFHYNE II and will work closely with ITM Power to deliver the project. This collaboration builds on the successful partnership between ITM and Linde, which has already proven effective in the earlier REFHYNE I project and other green hydrogen initiatives across Europe.
Building on Previous Success
REFHYNE II represents a significant scale-up from the 10MW REFHYNE I plant, which began operation in 2021. The new project will leverage the lessons learned from REFHYNE I and ITM's and Linde’s extensive experience in engineering, constructing, and operating green hydrogen projects. The upscaled 100MW electrolyser will play a crucial role in demonstrating the viability of large-scale renewable hydrogen production for industrial applications.
Supportive Regulatory and Financial Frameworks
The successful launch of REFHYNE II has been made possible by a robust regulatory environment and financial support from government and international bodies. The European Union’s binding targets for renewable hydrogen use in industry and transport, along with the German Federal Government's regulatory framework, have provided a strong foundation for the project.
Additionally, REFHYNE II has received funding from the EU’s Horizon 2020 research and innovation program, underscoring the project's importance in advancing Europe’s green energy transition. This funding highlights the EU's commitment to fostering innovation and sustainability in the energy sector.
Implications for the Future
REFHYNE II is poised to be a landmark project in the green hydrogen sector, showcasing the potential for large-scale renewable hydrogen production to support the decarbonization of heavy industries. The collaboration between ITM Power, Linde Engineering, and Shell demonstrates the growing momentum behind green hydrogen as a key component of the global energy transition.
With operations expected to begin in 2027, REFHYNE II will not only reduce the carbon footprint of Shell’s Wesseling refinery but also serve as a blueprint for future green hydrogen projects.
