Helleniq Energy, Greece’s leading oil refiner, announced that it is in the final stages of determining its pilot green hydrogen investment at the Elefsina refinery.
The company, which operates three refineries in Greece and is involved in fuel sales, renewables, and hydrocarbon exploration, is actively seeking ways to reduce the carbon footprint of its core activities. In addition to the green hydrogen investment, Helleniq Energy is evaluating the feasibility of a carbon capture and storage (CCS) facility at the Elefsina refinery to produce blue hydrogen.
Green hydrogen is produced using electricity generated from renewable sources, while blue hydrogen is primarily derived from natural gas through carbon capture and storage techniques. By pursuing these investments, Helleniq Energy aims to align its operations with sustainable practices and contribute to the reduction of greenhouse gas emissions.
The company has applied for European Union (EU) funding to support the CCS investment. However, it stated that prevailing conditions are not currently conducive to an immediate investment decision, citing factors such as funding priorities in Europe and limitations in storage capabilities.
Helleniq Energy’s first-quarter financial report unveiled a significant increase in quarterly core profit, with earnings before interest, tax, depreciation, and amortization (EBITDA) surging to 404 million euros ($444.7 million) from 99 million euros in the same period in 2022, excluding inventory holdings.
The potential impact of Helleniq Energy’s green hydrogen investment and the exploration of CCS facilities for blue hydrogen production is substantial. Green hydrogen offers a renewable and emissions-free alternative to traditional fossil fuels, which can contribute to a greener energy mix and a more sustainable future. Blue hydrogen, on the other hand, enables the utilization of existing natural gas resources while reducing carbon emissions through the capture and storage of CO2.
However, challenges remain in implementing these initiatives. Securing adequate funding and navigating evolving EU funding priorities pose potential obstacles to the company’s investment decisions. Furthermore, storage infrastructure development and availability are critical for the successful deployment of CCS facilities.
Helleniq Energy’s commitment to exploring sustainable solutions and diversifying its operations underscores the growing significance of green and blue hydrogen in the global energy transition. As the company progresses towards its final decision on the pilot green hydrogen investment and evaluates the feasibility of a CCS facility, it stands at the forefront of Greece’s efforts to drive decarbonization and embrace cleaner energy alternatives.
