Axpo Holding and Infinite Green Energy (IGE) have entered into a binding joint development agreement to develop the commercial-scale Valle Peligna hydrogen project in Abruzzo, Italy.

The JDA describes the strategic partnership between IGE and Axpo, including the key terms, and milestones to successfully reach a final investment decision.

The Project launched more than 18 months ago is consistent with the Italian Government’s ‘Hydrogen Valley’ strategy, which seeks to enhance brownfield sites.

Leveraging the industrial area in the Abruzzo municipality of Corfinio, the project is expected to deliver about 12 tonnes per day of renewable hydrogen to ‘hard-to-abate’ and mobility sectors.

The project is expected to comprise a 30-megawatt electrolyser – powered by a 45-megawatt solar plant – making it one of Italy’s biggest commercial-scale renewable hydrogen plants.

The 30-megawatt electrolyser can produce about 4,200 tonnes a year of renewable hydrogen, corresponding to a saving of around 18 million litres of diesel per year.

Supporting ‘hard-to-abate’ and mobility sectors

The grid-connected Project – which seeks to decarbonise Corfinio’s industrial area – is expected to supply renewable hydrogen to ‘hard-to-abate’ and mobility sectors by H2 2025.

IGE is projecting a carbon dioxide saving of approximately 67,000 tonnes per annum.

The project could also include a refuelling station – enabling IGE and Axpo to supply back-to-base operations – with the possibility of expanding to the Trans-European Transport Network (T-ETN).

In 2023, the European Parliament mandated the building of a hydrogen refuelling station every 200km – in all major cities – along core T-ETN routes by 2030.

Discussions are currently underway with hydrogen truck makers to support renewable hydrogen applications across the mobility sector.

IGE Chief Executive Officer Stephen Gauld said: “Partnering with Switzerland’s largest renewable energy producer will continue to build the confidence of our shareholders, strategic partners and buyers across Australia and Europe.

“The partnership highlights IGE’s commitment to not only fighting climate change but to also delivering a sustainable future and creating jobs in communities that will benefit from green energy.”