Green hydrogen company Lhyfe and automotive and industrial supplier Schaeffler have reached an agreement to boost production of hydrogen gas.
The deal will see an electrolysis plant built at Schaeffler’s factory in Bavaria, Germany. With a capacity of up to 15MW, the Herzogenaurach plant will produce green hydrogen on an industrial scale.
Under the letter of intent, other organisations will also be supplied with green hydrogen helping drive decarbonisation across the region.
The move comes after Lhyfe began its first UK operation in North East England to identify opportunities to deploy production facilities to support the country’s net zero ambitions.
The goal of the Schaeffler partnership is to supply Bavaria with approximately 3.7 tonnes of green hydrogen per day, starting in 2025.
Potential customers include municipalities and hydrogen filling stations.
The waste heat generated by electrolysis will be fed into the industrial processes within the Schaeffler plant.
Luc Graré, head of Central and Eastern Europe at Lhyfe, said: “We are proud to support a giant company like the Schaeffler AG in its transformation towards a climate-neutral production by 2030.
“The rapid supply of green hydrogen continues to be a massive task.
“Large-scale projects like the one by Schaeffler prove the readiness of the technology, provide confidence and security in the market and strengthen the appetite for investment.”
Andreas Schick, member of the board of managing directors for production, supply chain management and purchasing at Schaeffler AG, added: “The switch from fossil fuels to renewable energies plays a central role in our goal of climate-neutral production until 2030.
“By partnering with Lhyfe, we have managed to team up with one of the most innovative companies to executive on the green hydrogen plant on our premises in Herzogenaurach.
“The agreement underlines Schaeffler’s commitment to sustainability and hydrogen technology.”