Prospective steelmaker H2GS eyes hydrogen supply for shipping

Swedish industrial start-up H2 Green Steel (H2GS) is partnering with compatriot Gotland Company to explore the feasibility of supplying the shipping company’s fleet with green hydrogen, Kallanish reports. 

This would represent a new direction for the prospective steelmaker who until now was thought to be aiming to consume its entire hydrogen output captively for ironmaking. It also suggests there is surplus hydrogen available in Sweden.

H2GS is currently constructing a 700-megawatt (MW) electrolyser in Boden, northern Sweden. Using the experience from its preparatory work, which has been focused mainly on steelmaking, the firm says it is now taking a step into a new field – green fuels for shipping.

“Our purpose is to accelerate the decarbonisation of hard-to-abate industries, and green hydrogen holds the key to true industrial transformation. Collaborating with Gotland Company signifies expanding our competence in large-scale hydrogen production beyond iron and steel,” explains Kajsa Ryttberg-Wallgren, head of hydrogen business at H2GS.

Under the planned study, the companies will identify locations for hydrogen production, as well as infrastructure for transporting it to harbours. H2GS estimates the facility will require 300MW of electrolysis capacity.

Gotland, which develops, charters and operates passenger ferries, has two new ships in development. Capable of operating on hydrogen gas, at least one of the ships is expected to be operational by the end of this decade. The new Horizon series ships will run on gas turbines powered by “multi-fuel”, meaning, different types of fossil-free fuels.

However, Gotland’s goal is to eventually run the ships on 100% hydrogen. For this, it will require 20,000 tonnes/year of hydrogen to operate between Gotland Island and the mainland. For such large amounts of hydrogen gas, “development of both production and infrastructure is essential”, says Gotland Company chief executive Håkan Johansson.

Reethu Ravi UK