TotalEnergies finalises green H2 supply deal for German refinery

French energy major TotalEnergies (EPA:TTE) has clinched a deal for off-taking green hydrogen from a 30-MW electrolyser in Germany being installed by natural gas distributor VNG Handel & Vertriebs GmbH and energy group Uniper SE (ETR:UN01).

The contract was signed by TotalEnergies Raffinerie Mitteldeutschland GmbH and the consortium partners of the Bad Lauchstaedt Energy Park project. According to the announcement, it is the first deal for green hydrogen supply in Germany.

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TotalEnergies will use the future green hydrogen output to decarbonise its Leuna refinery in Germany. Thanks to a pipeline connection between Bad Lauchstaedt Energy Park and the refinery, it will get access to the future European hydrogen infrastructure and the international markets for green hydrogen. The first supply to Leuna is set to be made in the second half of 2025.

VNG and Uniper, working on the electrolysis project through their Mitteldeutschland GmbH joint venture, took the final investment decision and launched construction activities in June. Under a preliminary off-take agreement, TotalEnergies was at the time announced as the first anchor customer for the hydrogen project.

The Bad Lauchstaedt Energy Park will use electricity from a wind farm that is set to begin operations by the spring of 2024.