First green hydrogen injection demonstration project in Portugal
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Marubeni Corporation (hereinafter, “Marubeni”) launched the first green hydrogen injection demonstration project in the natural gas distribution network of Portugal through its investment in Floene Energias, S.A. (hereinafter, “Floene”), a gas distribution system operator in Portugal with over 70% of the country’s market share (Marubeni holds a 22.5% stake in Floene through a joint venture with Toho Gas).
In this demonstration project, Floene is transporting green hydrogen through its newly-constructed hydrogen pipeline, injecting it into its existing natural gas network, and distributing it to a customer base at around 80 residential, commercial, and industrial locations.
The green hydrogen utilized is produced by a local company through an electrolysis process to split water using solar power. Floene plans to increase its injection ratio up to 20% during a two-year demonstration period as the Portuguese government is targeting a 10 to 15% injection ratio by 2030 in its National Hydrogen Strategy.
Marubeni has positioned “Green Strategy” as one of its basic policies for its Mid-Term Management Strategy GC2024, and the Marubeni Group aspires to be a forerunner in green businesses. Marubeni is also promoting a green hydrogen demonstration project in Chile. The company will contribute to decarbonization and energy transition through the promotion of renewable gases such as hydrogen and biomethane in Portugal and Chile.