OX2 forms green hydrogen supply partnership with Finland's Orkla

Swedish renewables developer OX2 AB (STO:OX2) has entered a partnership with Orkla (OSL:ORK) to supply green hydrogen to the Norwegian food and consumer goods producer’s factory in Finland’s Aland region.

The scope of the partnership is to assess and plan the supplies of green hydrogen from 2025, OX2 said on Tuesday.

Do you know we have a daily hydrogen newsletter? Subscribe here for free!

The green hydrogen for Orkla’s production facility at Haraldsby, in the Saltvik municipality of Aland, will be produced with electricity coming from OX2’s planned Energy Park at Möckelö, which is due to go online in 2024, from additional solar parks and eventually from the Noatun North and South offshore wind projects outside Aland.

The supplies will help Orkla replace imported propane gas with locally-produced hydrogen. As a result, the consumer goods company will slash its carbon dioxide emissions on the Aland archipelago by 20% to align with the group’s objective for a 60% emissions cut by 2025.

“We see Orkla's factory in Haraldsby as a good first example of hydrogen's possibilities and will, after this pilot, review the possibilities of scaling this up at other Orkla factories in our large group,” said Christer Soderstrom, factory manager Orkla Aland.