21. January 2021 Meghan Sapp

Vattenfall and Preem moving forward on blue hydrogen

In Sweden, the collaboration between Vattenfall and Swedish fuel company Preem, aimed at producing fossil-free hydrogen for biofuel production, is entering the next phase. A study is now being conducted to examine opportunities for building a large-scale production facility at the refinery in Lysekil in Sweden.

Preem’s target of producing 5 million cubic meters of biofuel by 2030 may result in a reduction of transport emissions of up to 12.5 million tons of carbon dioxide, equivalent to about 20 per cent of Sweden’s total emissions. This shift in production will require a sizable supply of hydrogen.

For this reason, Vattenfall and Preem have decided to look into the possibility of meeting Preem’s hydrogen needs with fossil-free hydrogen from extensive water electrolysis. The study, planned to be completed by summer, will not only look into hydrogen production, but also the refinery’s future electrical supply. Should the study prove positive, the next step may be to plan for constructing the first electrolysis facility at the Lysekil refinery, amounting to 200-500MW.