Norwegian companies Norwegian Hydrogen and Glocal Green have entered into a concrete cooperation agreement for the development and establishment of hydrogen production in connection with Glocal Green’s planned bio-methanol plant in Øyer in Gudbrandsdalen.
The deal is based on the dialogue the two companies have had since they entered into a letter of intent two years ago, Norwegian Hydrogen said, adding that the hydrogen production will be organized into a separate jointly owned company.
Dag Nikolai Ryste, CEO of Glocal Green, stated: “A two-year study and dialogue between us have today resulted in a joint commitment to hydrogen production in connection with Glocal Green’s methanol production units. It has crystallized into a clear win-win model between the parties, and in addition, this efficiency will benefit all other parties along this holistic value chain, and not least the market.”
According to Norwegian Hydrogen, bio-methanol will be produced from low-grade biological residual materials and by-products from forestry, agriculture, and the marine sector, and by adding hydrogen in the production process, “all the green carbon is utilized, resulting in a volumetric doubling of methanol production.” This methanol, with added hydrogen, is termed bio-e-methanol.
“The market for this green methanol is enormous and growing, both within the chemical industry and as a replacement for fossil fuels in the maritime sector and aviation. Hydrogen production requires access to power, and in a growing global power deficit, high transition efficiency is important. This concept, which combines bio-waste and hydrogen, contributes to optimal energy utilization, where the energy from the biomass, together with the energy from the added hydrogen, provides an outstanding yield to the input power. The result is a green liquid hydrogen carrier at a competitive price that will contribute significantly to the green transition,” Norwegian Hydrogen noted.
As already mentioned, the two companies’ first project is in Øyer. The goal is an annual production of 150,000 tons of bio-e-methanol, which will also involve local production of 15,000 tons of green hydrogen from electrolysis. The parties also aim to develop several similar projects, initially in the Nordic region.
Jens Berge, CEO of Norwegian Hydrogen, commented: “This collaboration marks a significant step forward for the considerable synergies inherent in the co-location of hydrogen and bio-methanol production. By combining our resources and expertise, we can offer sustainable solutions that meet the increasing demand for green fuels. We look forward to realizing the many opportunities this partnership will bring, both nationally and internationally.”
To remind, in 2024, Norwegian Hydrogen got involved in several hydrogen-related projects and partnerships, with the latest one being cooperation with Maris Fiducia Norway and HAV Hydrogen. The three partners joined forces to develop, build and operate hydrogen-powered dry-bulk vessels in Europe. Furthermore, the company entered an agreement with Provaris Energy to jointly progress the identification and development of several sites in the Nordic region for the large-scale production and export of hydrogen to European markets.