French green hydrogen producer Lhyfe has signed a five-year deal to supply H2 Mobility, which operates about 80 public vehicle refuelling stations in Germany.

The deal, which is Lhyfe’s first long-term bulk offtake agreement, covers the delivery of more than 1,200t of green hydrogen from next year. The first deliveries will go to four stations across the German states of Baden-Wuerttemberg and Rhineland-Palatinate, beginning with sites at Ludwigshafen and Frankenthal.

The hydrogen will be supplied from a production plant that Lhyfe is developing at Schwaebisch Gmuend in the German state of Baden-Wuerttemberg. Lhyfe delivers its product mainly as compressed hydrogen in tube trailers.

“With a reliable hydrogen supply and the necessary refuelling infrastructure, this partnership enables a shift toward zero-carbon transport at a new scale for the region,” said Luc Grare, head of central and eastern Europe at Lhyfe.

H2 Mobility aims to sell green hydrogen through its entire German refuelling network by 2028. “We are pleased to announce that, with the support of Lhyfe, we are making significant progress towards achieving this ambitious goal,” said Frank Fronzke, COO at H2 Mobility.

Prices

Lhyfe did not comment directly on the prices agreed with H2 Mobility. The price of green hydrogen delivered by road is €10–20/kg, which is at parity with grey hydrogen, CEO Matthieu Guesne told a recent media briefing. Green hydrogen produced in large quantities for industrial consumers, not including refineries, is priced at €6/kg, compared with €3–5/kg for grey, he said.

Launched in 2017, Lhyfe has four installed green hydrogen plants and several under construction across Europe.

“We are focusing on the countries where you have the support mechanisms and the political will to see green hydrogen happen,” Guesne said. “We are now in France and we are focusing on Germany, the Netherlands and the UK, where you have mechanisms like CfDs and feed-in tariffs that support 10–15 years of production. We are sure this will also happen in Spain and Italy.” The best green hydrogen subsidy programmes in the world are in the UK and the Netherlands, Guesne said.

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Author: Stuart Penson