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New Energy World
New Energy World embraces the whole energy industry as it connects and converges to address the decarbonisation challenge. It covers progress being made across the industry, from the dynamics under way to reduce emissions in oil and gas, through improvements to the efficiency of energy conversion and use, to cutting-edge initiatives in renewable and low carbon technologies.
Setting sights on Spain
8/3/2023
A new green hydrogen project unveiled by BP at its Castellón refinery, together with 19 planned solar farms, will contribute to decarbonising Spain’s economy and improve energy security for both the country and more widely in Europe.
BP has launched the green hydrogen cluster of the Valencia region (HyVal) at its Castellón refinery in Spain. The public-private collaborative initiative, led by BP, is intended to be based around the phased development of up to 2 GW of electrolysis capacity by 2030 for producing green hydrogen at the refinery.
HyVal is expected to play an instrumental role in decarbonising the operations of the Castellón facility, as well as helping to decarbonise Spain’s economy and improve energy security for both the country and more widely in Europe. BP is looking to invest up to €2bn in the refinery by 2030.
Green hydrogen – generated by the electrolysis of water using renewable power – will replace the current use of ‘grey’ hydrogen generated from natural gas at Castellón. Meanwhile, production of biofuels is expected to increase three-fold, to 650,000 t/y by 2030. Green hydrogen will also be used as a feedstock in biofuels production, specifically in the manufacture of sustainable aviation fuel (SAF).
In addition to being used by BP at the refinery, the green hydrogen produced will also be used in key hard-to-abate industries in the Valencia region, such as the ceramic industry, replacing the natural gas used in its processes; the chemical industry for the production of green ammonia; and in heavy transport.
HyVal will support the development of the Valencia region into a leader for the production of green hydrogen in Spain, reports BP.
Its hydrogen production is expected to be developed in phases. The first, anticipated to be operational in 2027, will involve the installation of an electrolysis plant with at least 200 MW capacity at Castellón refinery. This initial stage is expected to produce up to 31,200 t/y of green hydrogen. Use of this green hydrogen to replace natural gas is estimated to be able to avoid more than 300,000 t/y of CO2 emissions when used first in the refinery and then in thermo-intensive industries and heavy transport. As noted, the green hydrogen will also be used as a feedstock for the production of SAF at the refinery.
In the second phase, which could be completed in 2030, the electrolysis plant will be expanded to reach a capacity of up to 2 GW of net installed power. Green hydrogen production from such a world-scale plant could support both regional and national demand, as well as positioning Valencia region to export green hydrogen to the rest of Europe through the Mediterranean corridor of green hydrogen H2Med, notes BP.
Setting sights on solar
Meanwhile, BP’s 50:50 solar joint venture with Lightsource is planning to invest €1.2bn on 19 new solar farms in Spain, having obtained environmental approval for the projects that are located in the provinces of Zaragoza, Seville, Córdoba, Toledo and Valladolid.
Totalling some totalling 1,620 MW of solar power brought into operation by 2025, the 19 projects will avoid more than 900,000 tonnes of CO2, according to Lightsource BP.
The venture plans to sell the electricity through long-term renewable power purchase agreements (PPAs).
