MOSCOW (MRC) -- Cepsa and ACE Terminal have signed a Memorandum of Understanding (MoU) by which the Spanish energy company will supply green ammonia to the planned import terminal in the port of Rotterdam, for end use applications in the industry after conversion of the ammonia back into hydrogen, or for direct end use in the shipping and other industries in Northwest Europe, said the company.
Cepsa is developing 2GW of green hydrogen at its two Energy Parks in Andalusia, southern Spain, as part of its 2030 Positive Motion strategy to become a leader in sustainable mobility and the production of renewable hydrogen and advanced biofuels and a benchmark in the energy transition. The two hydrogen plants, with a 3 billion euro investment, will form part of the Andalusian Green Hydrogen Valley, the largest green hydrogen hub in Europe, for which Cepsa has recently signed a number of partnership agreements across the hydrogen value chain.
On the import side, Gasunie, HES International and Vopak have partnered to develop ACE Terminal as an entry point to the Netherlands for ammonia as a carrier for green hydrogen as well as a sustainable feedstock. The open access terminal will be located in the port of Rotterdam, a very important port for Northwest Europe from an energy point of view. With the planned reuse of assets and infrastructure, ACE Terminal is a project with a short time to market. The MoU with Cepsa is the first of agreements aimed between additional clients and the ACE open access hub terminal for green hydrogen and ammonia imports.
The MoU between Cepsa and ACE Terminal entails a cooperation intended to lead to a binding commercial agreement to facilitate the oversea transport of green ammonia, to redistribute the green ammonia to end markets in the hinterland, and to process the green ammonia into green hydrogen ready for use by end customers in Northwest Europe. The location of ACE Terminal in the port of Rotterdam offers direct connection to Rotterdam's industry and the planned national hydrogen network, and has an excellent connection to the infrastructure into Northwest Europe.
We remind, Cepsa has signed a deal with the Dutch port of Rotterdam to ship green hydrogen from southern Spain to northern Europe. The hydrogen will be produced at Cepsa’s San Roque Energy Park near the Bay of Algeciras, and will be exported through hydrogen carriers such as ammonia or methanol to the Port of Rotterdam.