Published the 07/04/2025

  • Both of Lhyfe’s UK projects are supported: Wallsend (20 MW[1]– bulk) and Kemsley (80 MW – onsite)
  • A pivotal moment for Lhyfe’s UK deployment, with potential government support to deploy its two new sites.
  • HAR2 allows for a long-term price support (contract for difference) for fifteen years ensuring a fixed price for the hydrogen produced and industrial and economic viability for both producers and offtakers.
  • Confirmation of Lhyfe’s position as a key player capable of rapidly developing and operating high-capacity sites in Europe and in the UK.

[1] Represents installed electrolyser capacity

 

Newcastle, UK – 7 April 2025 – Lhyfe (EURONEXT: LHYFE), one of the world’s pioneers in the production of green and renewable hydrogen, is pleased to announce that both of its planned green hydrogen production projects in Wallsend, North Tyneside, and  Kemsley, Kent, have been shortlisted under the UK Government’s Hydrogen Allocation Round 2 (HAR2), a public auction system to support the production of low-carbon or renewable hydrogen.

 

Both facilities plan to supply green hydrogen to industrial users and transport operators in their region, contributing to decarbonisation efforts and the growth of the UK’s hydrogen economy.

  • Kemsley: this 80 MW onsite plant is strategically positioned in the North of Kemsley (Kent). It plans to produce up to 32 tonnes of green hydrogen per day, primarily for an industrial player in the region
  • Wallsend: the 20 MW facility[1] is located on the site of the historic Neptune Bank Power Station (Wallsend, North Tyneside). It plans to produce up to 8 tonnes of green hydrogen per day.

As part of the HAR2 mechanism, the winners will receive public financial support in the form of a Contract for Difference (CfD), a mechanism that guarantees them in the very long term a fixed price for the hydrogen produced, thereby enhancing the visibility and bankability of the projects.

Lhyfe is a producer and supplier of green, renewable hydrogen throughout Europe. Its hydrogen is produced by water electrolysis, at production sites powered by renewable electricity.

[1] Announced in February 2024, PR available here

Lhyfe has a unique track record with the installation and operation of 6 green hydrogen production sites, securing future deployments of sites with increasing capacities including in the UK. Its first plant, located in France, has been producing green, renewable hydrogen for over 4 years.

In 2024, the Group made more than 470 deliveries to almost 50 clients in 8 European countries, relying on its nearly 70 containers fleet – one of the largest modern bulk hydrogen transport fleets in Europe -, and with a 99% service rate.

Through its Lhyfe UK Ltd subsidiary, launched in 2022 and operating from Newcastle, Lhyfe aims to meet the increasing demand from British companies aiming to reduce their reliance on natural gas and other fossil fuels. With UK government support for its projects, as well as its proven unique expertise on operational or under construction sites in France and Germany, Lhyfe aims to become a major supplier of green hydrogen in the UK, boosting the country’s energy security and creating new economic opportunities.

It also has ambitions to develop offshore hydrogen production, tapping into the huge offshore wind potential the UK offers.

Boris Davis, Head of Business Development UK at Lhyfe, said:

“We are delighted that our Wallsend and Kemsley projects have been shortlisted, given the fiercely competitive nature of the process. This demonstrates the government’s confidence in Lhyfe’s ability to rapidly develop and operate high-capacity sites, and to meet the UK needs. We look forward to working with the Department for Energy Security and Net Zero (DESNZ) to progress at pace to the next stage and ultimately get the production sites up and running.”

The implementation of these projects is subject to final agreements with the UK government, the granting of operational and environmental permits, building permits, and to a financial investment decision

 

For an interview with the spokespersons, please contact the press department.

Click to access the Lhyfe Media Kit (press releases and visuals)

 

About Lhyfe

Lhyfe is a European group devoted to energy transition, and a producer and supplier of green and renewable hydrogen. Its production sites and portfolio of projects seek to provide access to green and renewable hydrogen in industrial quantities, and enable the creation of a virtuous energy model capable of decarbonising entire sectors of industry and transport.

 

In 2021, Lhyfe inaugurated the first industrial-scale green hydrogen production plant in the world to be interconnected with a wind farm. In 2022, it inaugurated the first offshore green hydrogen production pilot platform in the world.

Since then, Lhyfe has installed three other production sites, and currently has several sites under construction or expansion across Europe.

Lhyfe is represented in 12 European countries and had 199 staff at the end of December 2024. The company is listed on the Euronext market in Paris (ISIN: FR0014009YQ1 – LHYFE). Lhyfe.com

 

Contacts

Lhyfe

Industry Press Relations: Nouvelles Graines – Clémence Rebours
Téléphone : +33 (0)6 60 57 76 43 | c.rebours@nouvelles-graines.com 

Financial Press Relations: ACTUS – Manon Clairet
Téléphone : +33 (0)1 53 67 36 73 | mclairet@actus.fr

Investor Relations: Lhyfe – Yoann Nguyen
investors@lhyfe.com