Statkraft is moving forward with plans for a 400MW green hydrogen and ammonia production facility in Shetland after securing a lease on land near the disused Scatsta Airport.
The Shetland Hydrogen Project 2 will use electrolytic hydrogen to produce green ammonia for decarbonising shipping and fertiliser production.
The site is close to the oil terminal and Shetland Gas Plant and will allow excess renewable power to be converted into hydrogen when grid capacity is constrained.
Statkraft said the project will support UK industrial decarbonisation goals while tapping into local expertise from the islands’ existing energy sector.
“This is an exciting milestone for the potential to develop green hydrogen and ammonia production in Shetland,” said Stuart Marley, Statkraft’s principal hydrogen project manager.
He added: “We will work closely with local stakeholders and the wider Shetland community as we progress this project.”
Statkraft has three wind farms in pre-construction on Shetland: Mossy Hill near Lerwick, and Energy Isles and Beaw Field on Yell.