Repsol, Enagas Renovable to build €300 million green hydrogen plant in Spain

Spanish energy company Repsol has given the green light to its first large electrolyzer, with 100 MW of capacity, at the company’s industrial complex in Cartagena of eastern Spain. The facility will produce up to 15,000 tons of renewable hydrogen per year, which the company will use as feedstock to manufacture essential products with a lower carbon footprint, marking a significant step forward in its roadmap to replace conventional hydrogen with renewable hydrogen at its industrial sites.

The project has been recognized by the European Commission and the Government of Spain as strategic and of common European interest (IPCEI) and will receive €155 million through the Spanish Institute for the Diversification and Saving of Energy (IDAE).

Given its scale, the development of this electrolyzer represents a technological challenge led by Repsol, in collaboration with Enagas Renovable, which holds a 25% stake in the project. With an investment of over €300 million, it will generate around 900 jobs—direct, indirect, and induced— through the different phases of the project. The electrolyzer alone will avoid the emission of up to 167,000 tons of CO2 per year, an impact equivalent to two-thirds of the entire fleet of pure electric vehicles in Spain in 2024.

Repsol revealed that the plant is expected to be operational in 2029, representing a milestone for the Hydrogen Valley of the Region of Murcia, one of Spain’s most important regional initiatives. The goal is to create the most efficient ecosystem possible, aligning production capacity with the needs of industry. The project also includes the possibility that, in the future, the renewable hydrogen can be fed into the natural gas network and the Spanish Hydrogen Backbone.

Repsol is the largest producer and consumer of hydrogen on the Iberian Peninsula, concentrating 60% of national production and accounting for 4% of the hydrogen consumed in Europe. At present, the company can produce around 360,000 tons of hydrogen per year at its industrial complexes.

For its part, Enagás Renovable operates as an independent energy producer specializing in renewable gases and decarbonization initiatives. Its current portfolio in Spain includes 20 projects under development, focused on renewable hydrogen and biomethane.