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Hyfuel AS is owned by HYDS, Sogn og Fjordane Energi AS and Fjord Base Holding AS. The new green hydrogen plant will be located at the supply base in Florø.

Rigging for green hydrogen production in Florø

The green hydrogen production project Hyfuel in Florø is embarking on the next leg after an investment decision to start building a new facility at Fjord Base in Florø. When in operation the facility will deliver 20 MW of green hydrogen production.

The off takers are maritime sector, transportation, construction and industrial users across Norway and the Nordic region.

Fjord Base in Norway’s largest supply base. Interested in opporiutnities at this location? Learn more about the location Fjord Base in Florø or reach out to any of our advisors.  The location has played a central role in developing the oil and gas sector and will continue to take center stage in developing the future energy sector.  

 

Enabling new value chains

The final investment decision is a milestone for the project, but also for the value chain as this is a significant step in scaling competitive green hydrogen supply and enabling zero emission solutions in segments where direct electrification is not sufficient.

Hydrogen is termed grey, blue or green, depending on the method of production. Green hydrogen, as being produced in Florø, is considered an emission free energy carrier and hydrogen produced from renewable energy sources through water electrolysis. Both blue and green hydrogen is considered emission free energy carriers, but blue hydrogen requires the production of CO2 and subsequent capture and storage, while no CO2 is produced from water electrolysis.  

The Hyfuel project is owned by HYDS, the regional energy company Sogn og Fjordane Energi AS and the industrial partner Fjord Base Holding AS. HYDS develops environmentally friendly solutions for various industries by providing green hydrogen, produced through electrolysis and electric power sourced mainly from renewable sources, and was established in 2021.

 

Similar facility in Egersund

Following the FID in Florø, the owners have also decided to start the building of a facility in Egersund, Kaupanes, also with the same production capacity. By enabling scalable, renewable hydrogen production, the Hyfuel and Kaupanes projects will play an important role in building a competitive hydrogen value chain in Norway and supporting climate targets.

Electrolyzers at both locations will be delivered by NEL Hydrogen. The projects also plan to work with Moreld Apply for engineering, installation and execution, supporting Norwegian industrial capabilities and local value creation.

Created 07/11/2025 Author Charlotte Lem

Ørjan Stubhaug

Investment Manager Fjordane

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