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Lhyfe launches its first UK project with plans for 20-MW green H2 plant

Lhyfe has unveiled plans for its first UK plant to support the country’s net zero ambitions. The company's proposed facility in the Northeast of England is receiving support from Shepherd Offshore, a leading maritime and energy service provider, following the signing of a land deal.

If plans are approved, Lhyfe’s facility on the brownfield site of the historic Neptune Bank Power Station in Wallsend, North Tyneside, would have an initial capacity of 20 megawatts (MW), capable of producing up to 8 tpd of green H2.

As an equivalent, 8 tons would enable a H2 truck to travel approximately 100,000 km without emitting any CO2. With the same quantity, a car could go around the Earth 20 times or travel around 800,000 km. Named Lhyfe Wallsend, this plant aims to supply a range of organizations seeking to decarbonize their manufacturing and transport operations.

The announcement comes 18 months after Lhyfe launched its UK subsidiary, headquartered in Newcastle, to meet the increasing demand from companies aiming to reduce their reliance on natural gas and other fossil fuels. 

In the UK, Lhyfe aims to become a major supplier to energy-intensive industries and transportation, boosting the country’s energy security and creating new economic opportunities. It also has ambitions to develop offshore H2 production, tapping into the huge offshore wind potential the UK offers.

The proposed plant will occupy 4 acres of leased industrial-zoned land along the north bank of the River Tyne. This site was once part of the Neptune Bank Power Station, an early 20th-century pioneer in high-voltage power distribution and a model for the National Grid.

Lhyfe Wallsend will use green electricity from the grid, complying with the UK Low Carbon H2 Standard. The company is also exploring options to source power from local renewable assets, such as solar and wind.

Lhyfe’s proposed plant is receiving support from Shepherd Offshore, a company that has more than 40 years of experience as leading UK service providers, developing and operating facilities, and supporting world-class manufacturing on the north bank of the River Tyne. Shepherd Offshore has also extensively redeveloped Neptune and Swans Energy Park. The company offers over 1,700 meters of quay frontage and more than 200 acres of overall capacity on the north bank of the Tyne.

Lhyfe is in advanced talks with several energy-intensive businesses in the area and across the UK, including those with transport fleets that could use H2 in their operations.

Companies and sectors looking to decarbonize are encouraged to contact Lhyfe to discuss opportunities to collaborate. Lhyfe’s planning application will be submitted to North Tyneside Council in the spring, with a program of community engagement underway. The project is subject to obtaining notably building permission and a financial investment decision.

Taia Kronborg, Chief Business Officer at Lhyfe said, “We are excited to announce North Tyneside as the site for our first UK green H2 production project. The development of green H2 projects is critical if major energy users are to decarbonize their operations. We hope this project will not only help the Northeast but the whole of the UK to reach its net zero targets.

“At Lhyfe, we are demonstrating that green H2 is now a reality and a key driver of the clean energy transition. We have a strong ethos of working with partners and communities to create projects that deliver real local value, and this is a key focus in growing our operations in line with demand.”

Charles Shepherd, Managing Director at Shepherd Offshore said, “We at Shepherd Offshore are excited to announce the partnership with Lhyfe on the H2 production facility in Wallsend. Shepherd Offshore is fully committed to yet another critical milestone in the growing strength and evolution of the River Tyne and looks forward to welcoming Lhyfe to the north bank of the Tyne.”