Deutsche ReGas, a German LNG terminal operator, and Hoegh LNG, a Norwegian FSRU (Floating Storage and Regasification Unit) player, have signed an agreement to develop a floating hydrogen import terminal in the German port of Lubmin.
This initiative, called the “H2-Import-Terminal Lubmin,” is poised to be the world’s first floating terminal for the industrial-scale conversion of green ammonia to green hydrogen. The terminal is expected to be operational by early 2026, producing around 30,000 tons of hydrogen per year.
The key technological component of this project is the green ammonia cracker technology developed by Hoegh LNG. This technology will be embedded into a barge solution and will serve as an industrial pilot for the conversion and decarbonization of FSRUs in Germany. Deutsche ReGas will provide the onshore terminal infrastructure and oversee the entire project, including permitting and marketing the import capacities at the terminal.
The innovative nature of this project cannot be understated. Converting green ammonia to green hydrogen on an industrial scale represents a significant advancement in hydrogen technology. However, it’s essential to critically evaluate this achievement against current industry standards and the broader context of the hydrogen sector.
While the H2-Import-Terminal Lubmin represents a pioneering effort, the scalability and economic feasibility of such projects remain to be fully tested. The anticipated production of 30,000 tons of hydrogen per year is a noteworthy figure, but it pales in comparison to the global demand for hydrogen, which is projected to reach 73.9 million tons by 2030. Additionally, the cost-effectiveness of producing hydrogen from green ammonia on a large scale is still a topic of ongoing research and development.
The H2-Import-Terminal Lubmin is a strategic move for Germany’s energy transition, particularly for the decarbonization of industrial regions in eastern and southern Germany. The project aligns with Germany’s broader energy transition strategy, which aims to reduce carbon emissions and increase the use of renewable energy sources. By integrating hydrogen into the energy mix, Germany can diversify its energy sources and reduce its reliance on fossil fuels.
However, the success of this initiative will depend on several factors, including technological advancements, economic viability, regulatory support, and international cooperation. While the agreement between Deutsche ReGas and Hoegh LNG marks a significant step forward, it is only one piece of the larger puzzle in achieving industrial decarbonization and energy transition goals.
