Green North Energy has signed a letter of intent with the cities of Pori and Kemi in Finland regarding a feasibility study on the establishment of green hydrogen and ammonia plants. The Finnish company will be able to utilize the production concept it developed with the support of Business Finland, which it is already applying in the pilot plant currently under development in Naantali. The planned investments total more than one billion euros and are aimed at accelerating the green transition, improving security of supply and creating new jobs.
Conceptual drawing Ammonia plant.
Business Finland awarded Green North Energy R&D funding of EUR 2.3 million at the beginning of 2023, enabling the company to design a replicable production concept for the new hydrogen and ammonia plant in Naantali. Now, with the support of the EU, the company is starting to examine the feasibility of the concept for new locations in Pori and Kemi as part of the BalticSeaH2 project. Both facilities would be the size of the Naantali plant, representing investments of more than EUR 600 million each.
Producing hydrogen products with renewable energy makes it possible to replace fossil fuels and chemicals, accelerating the green transition both regionally and on a global scale – both on land and at sea.
In addition, the plants being developed by Green North Energy significantly improve Finland’s security of supply, as ammonia is needed in the production of fertilizers, for which Finland is still dependent on Russia and African countries. Green North Energy’s planned production volumes would be enough to make Finland self-sufficient in ammonia production.
The investments are expected to have a considerable impact on the economic life of Pori and Kemi, as it will be possible to build an entire green transition ecosystem around the plants.
“Green North Energy is a welcome partner for us: it is a pioneering company with strong roots in Finland. We expect the project to have considerable employment benefits, as a variety of activities can arise around the hydrogen plant,” says Lauri Inna, Mayor of Pori.
“Our city is situated along the future hydrogen pipeline, and a carbon-neutral hydrogen and ammonia plant would be a very welcome addition,” says Matti Ruotsalainen, Mayor of Kemi.
The choice of cities for the new plants was especially influenced by the fact that significant offshore wind projects are planned for both Pori and Kemi. The good availability of electricity produced with renewable energy is critical for hydrogen projects. The proximity of their ports was also a decisive factor, as the main markets for green ammonia are further away in Europe.
“Connecting to offshore wind power has a big impact on the overall profitability of the plants we are developing. It is absolutely essential to resolve the obstacles to the development of offshore wind power so that hydrogen plants and energy projects progress at the same pace,” says Jussi Ylinen, Managing Director of Green North Energy.
“This concrete investment is important because Finland needs industrial renewal: companies that seek new business from the hydrogen economy, for example, and are also able to grow internationally. At Business Finland, we want to share the risk of companies in this market transition,” says Helena Sarén, Mission Lead, Carbon Neutrality, at Business Finland.