TotalEnergies has entered into a long-term agreement with the German energy company RWE to supply 30,000 tons of green hydrogen per year to the Leuna refinery in Germany. Starting from 2030, the agreement will span 15 years and is part of TotalEnergies’ goal of decarbonizing hydrogen in its European refineries by the end of the decade.

Hydrogen Production and Delivery

RWE will construct and run a 300 MW electrolyzer plant at Lingen to manufacture the green hydrogen. RWE will establish a local storage facility and will also transport the hydrogen via a 600 km pipeline directly to the refinery. The project will cut 300,000 tons of CO2 emissions each year, which will make iit the largest hydrogen supply deal in Germany’s hydrogen sector.

Markus Krebber, Chief Executive Officer of RWE, said,”We are proud to have secured the first long-term offtake agreement for green hydrogen of this size with TotalEnergies in Germany. Six months after the investment decision for the construction of the 300 megawatt electrolysis plant in Lingen, we have acquired an important anchor customer in TotalEnergies. This shows that hydrogen works with the right incentives for customers.”

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TotalEnergies’ Commitment to Decarbonization

As part of its overall decarbonization policy, TotalEnergies is already busy diminishing the carbon intensity of its refining activities in Europe. In addition, the company has committed to utilizing low carbon hydrogen as one of the means to achieving this, with the aim of reducing its annual CO2 emissions by some three million tons by 2030.

To facilitate this transition, TotalEnergies has also subscribed to over 200,000 tons annually of green and renewable hydrogen for French, German, Belgian, and Dutch refineries.

Equitix, together with Kyuden International Corporation and Kyushu Electric Power Transmission and Distribution Company, Incorporated (Kyuden Group), has completed a deal to buy Seagreen Phase 1’s offshore transmission assets from Seagreen Wind Energy Limited (SWEL).

The transaction involves significant infrastructure including subsea and onshore export cables, an offshore substation, and an onshore substation. Equitix and Kyuden Group will oversee the transmission system for 24 years under a license from the UK energy regulator, Ofgem.

Backing Scotland’s Biggest Offshore Wind Farm

Seagreen Phase 1 is Scotland’s largest and the world’s deepest fixed-bottom offshore wind farm, positioned approximately 27 kilometers off the coast of Angus. Three 64-kilometer-long subsea export cables will carry energy from the offshore turbines, followed by a 20-kilometer onshore stretch to the Angus substation.

Seagreen generates up to 1,075 MW of renewable energy, providing power for over 1.6 million homes—about two-thirds of Scotland’s households. By replacing fossil fuel-based electricity, Seagreen will cut over 2 million metric tons of carbon dioxide every year.

Expanding a Growing OFTO Portfolio

This acquisition boosts Equitix’s OFTO portfolio to six assets, transmitting about 3.5 GW of electricity and supporting renewable energy growth. Equitix and Kyuden Group secured the role of preferred bidders for the Dogger Bank A OFTO project, which is on track to finalize financing later this year.

Achal Bhuwania, Chief Investment Officer of Equitix, stated that the company’s investment in Seagreen reflected the dedication and effort of their team in fostering long-term partnerships and creating value for investors. He emphasized that Equitix’s expertise and perseverance had helped them expand their OFTO portfolio, contributing significantly to the UK’s journey toward a net-zero carbon future

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Economic and Financial Backing

Seagreen Phase 1 ranked among Scotland’s largest infrastructure projects, injecting over £1 billion into the economy and creating around 4,000 jobs, according to independent analysis by PwC.

Equitix and Kyuden Group funded the acquisition of the transmission assets through a mix of equity investment. They also secured loans from several financial institutions, including The Japan Bank for International Cooperation, Sumitomo Mitsui Trust Bank Limited (London Branch), Mizuho Bank, Ltd., and Aviva Life & Pensions UK Limited.

Seagreen Phase 1 was developed by SWEL as part of a joint venture involving SSE Renewables, TotalEnergies, and PTTEP.