KGAL is to invest in Arcadia eFuels’ green hydrogen-based production facility in Vordingborg, Denmark.
From mid-2026, the plant is expected to produce approximately 68,000 tonnes of climate-neutral synthetic aviation fuel (eSAF) per year using self-produced green hydrogen.
Arcadia eFuels will be producing eSAF on a scale that aligns with the EU’s recent decision to introduce a mandatory quota for sustainable aviation fuel, KGAL said.
It aims to tap this potential for institutional investors with KGAL ESPF 6.
This energy transition fund focuses on new hydrogen infrastructure projects in the EU-27 and UK.
KGAL ESPF 6 has a further 30 green hydrogen and energy transition developments in the pipeline – two of which are in advanced negotiations.
Managing director of KGAL Investment Management Michael Ebner said: “From aviation and logistics to the steel and chemical industries, from water treatment to agriculture – almost anywhere that direct decarbonisation through green power reaches its limits, green hydrogen can be the solution.
“Given the multitude of possible applications, there is enormous potential.
“Straits Research, for example, forecasts that the green hydrogen market in Europe will grow by an average of 55% per year up to 2030.”