Germany – The H2Global Foundation announced the initial results of its maiden auction for green hydrogen imports to Europe. Fertiglobe emerges as the winner of the auction for green ammonia. The auction for e-sustainable aviation fuel (eSAF) ended with no winning bids.
The first H2Global pilot auction for renewable ammonia is funded by de German government. The winning bidder, Fertiglobe, a strategic partnership between ADNOC and OCI, will start producing renewable ammonia destined for delivery in European ports in 2027 for a maximum contract value of EUR 397 million.
With this result, Europe has secured a significant supply of renewable ammonia starting at a potential 19,500 tons in 2027 rising up to a total of 397,000 tons cumulatively by 2033.
The pilot auction for Lot 1 covering renewable ammonia was launched at the end of 2022. Lot 1 received interest from over 65 countries. Fertiglobe emerged as the successful bidder among five finalists. It will procure the supply of renewable hydrogen from Egypt Green Hydrogen to be used as feedstock for the production of renewable ammonia at Fertiglobe’s existing ammonia plant in Ain Sokhna.
Lots 2 and 3 covered renewable methanol and e-sustainable aviation fuel (eSAF) respectively, with the latter ending without a contract being awarded. As a result, the funds from eSAF will be allocated to the ongoing Lot 2 for renewable methanol. This offers bidders the opportunity to realize additional economies of scale.
H2Global’s pilot auction complements existing national and regional auction schemes by covering the entire value chain of clean hydrogen and its derivatives and extending support beyond European borders, fostering the ramp-up of a global clean hydrogen market and promoting energy transition on a global scale. For countries that are projected to become significant clean energy exporters, the funding will accelerate domestic decarbonization plans while generating jobs and tax revenues.
