HERNING, DENMARK: Everfuel A/S announced the signing of a Memorandum of Understanding (MoU) with Karlstads Energi for a collaboration on developing a hydrogen hub in Karlstad, Sweden.

The two parties plan to explore the commercial and technical feasibility of constructing a 20 MW electrolysis facility as a first phase of the hub development. The facility is intended to produce green hydrogen, supply excess heat to the local district heating owned and operated by Karlstads Energi, utilise the produced oxygen for industry purposes and supply green fuel to both mobility and industry partners.

Everfuel and Karlstads Energi have a joint ambition to further develop the hub and expand the electrolyser capacity with an additional 100 MW in a second phase. The first phase is expected to be commissioned in 2025, depending on funding and permitting.

“We are excited about the project, which will assist in decarbonising both industry and mobility in Karlstad and the surrounding regions. There are strong synergies between Everfuel’s activities and our existing operations, and this could be the new standard for leveraging green hydrogen through the integration of existing infrastructure such as district heating grids to achieve higher energy and resource efficiencies,” says Erik Kornfeld, the CEO of Karlstads Energi.

“Karlstad is an important strategic location for us. Establishing an electrolyser there will ensure that we have hydrogen production across Scandinavia. We will leverage our experience from building hydrogen hubs in Denmark and Norway, and look forward to developing a Swedish hub with Karlstads Energi as a strong partner,” says Jacob Krogsgaard, the CEO of Everfuel.

The project is intended to be a joint venture between Everfuel and Karlstads Energi, where Everfuel is the majority owner.