Hydrogen Plant Construction to Begin in Pembrokeshire
Construction is scheduled to commence this year on a £50 million hydrogen production facility located in Pembrokeshire.
The West Wales Hydrogen plant, situated in Milford Haven, is projected to generate 60 jobs during its construction phase and provide up to 10 permanent positions once operational.
The facility will be established on the site of a former oil refinery at the Impala terminal, previously operated by Puma Energy, within the port area.
Government Support and Project Development
Welsh Secretary Jo Stevens highlighted the project's potential economic benefits, stating it will "create jobs and help grow the Welsh economy."
The initiative is backed by the UK government's hydrogen allocation round (HAR), a funding mechanism designed to support low-carbon hydrogen production projects.
This plant is among the first HAR-supported projects to receive investment approval.
The development is led by MorGen Energy, a Zurich-based company established in 2021 with the objective of advancing large-scale green hydrogen projects.
Project Timeline and Production Capacity
Construction is anticipated to begin within the current year, with commissioning targeted for early 2028.
Upon completion, the plant is expected to produce approximately 2,000 tonnes of low-carbon hydrogen annually. This hydrogen will be utilized for industrial heating, manufacturing processes, and decarbonising operations at the Milford Haven port.
Production Process and Environmental Impact
The plant will generate hydrogen through electrolysis, a process that separates water into hydrogen and oxygen using electricity.
MorGen Energy stated that the electricity powering the facility will be sourced from existing and new renewable energy installations, primarily wind farms located in the UK.
The company anticipates the plant will achieve over 15,000 tons of CO2 equivalent emissions savings each year.
Strategic Location and Infrastructure
The West Wales Hydrogen project is situated within the Celtic Freeport area and will leverage existing infrastructure in Milford Haven, according to MorGen's website.
Official Statements on Project Significance
Welsh Secretary Jo Stevens remarked:
"Wales is at the forefront of the green energy revolution and it's great to see the West Wales Hydrogen project amongst the first in the UK to reach this stage, with the support of the UK government.
This is a huge milestone in the delivery of the project, which will create jobs and help grow the Welsh economy."
UK government's Minister for Energy Michael Shanks emphasized the importance of hydrogen investment, stating:
"Backing hydrogen is crucial in de-carbonising industry, driving investment, boosting our energy security and creating hundreds of jobs in our industrial heartlands.
This investment shows how Wales is embracing the clean energy transition, with one of the UK's first commercial scale low-carbon hydrogen production plants creating new opportunities for local communities."
Werner Lieberherr, Chief Executive of MorGen Energy, described the project as a significant achievement, saying:
"This is a defining milestone for the company and the UK hydrogen sector, demonstrating that green hydrogen projects in the UK can be delivered as bankable infrastructure investments."
