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Construction starts on Spain’s largest green hydrogen plant
17 February 2025
Image courtesy of Iberdrola
Spanish energy company Iberdrola and oil giant BP have started construction of what they claim is Spain’s largest green hydrogen plant.
The plant will be built on a 20,000 sq m plot of land next to BP’s refinery in Castellón, with land first being adapted for the project, before civil engineering work starts in the second quarter of this year.
The main equipment is due to arrive and be assembled in the second half of this year.
Construction of the 25MW plant, which is seeing a €70 million (US$73.3 million) investment, is expected to involve 25 Spanish companies.
The 25MW electrolyser will be powered by renewable electricity through a power purchase agreement supplied by Iberdrola from photovoltaic and wind farms.
The plant is expected to produce 2,800 tonnes of green hydrogen a year after it starts operating in the second half of 2026.
The project, with the participation of the Instituto Tecnológico de la Energía (ITE), has obtained funding equivalent to €15 M from the Innovative Value Chain and Renewable Hydrogen Knowledge support programmes within the Spanish Recovery, Transformation and Resilience Plan, with funds allocated by the European Union’s NextGenerationEU.
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