Trafigura/MorGen reach FID for 20MW West Wales green hydrogen plant
- MorGen Energy has approved final investment decision for a 20MW green hydrogen plant at Milford Haven's Celtic Freeport.
- Construction is expected to start in 2026 with commissioning targeted for early 2028.
- The facility will produce about 2,000 tonnes per annum of low‑carbon hydrogen compliant with the UK Low Carbon Hydrogen Standard, for port decarbonisation, industrial heating, manufacturing and chemical feedstock.
- ITM Power will supply the electrolyser; financing from Lloyds and Société Générale, with 15 years of revenue support under the UK Hydrogen Production Business Model and grant funding via HAR1/Net Zero Hydrogen Fund.
Project decision and location
Trafigura’s wholly owned subsidiary MorGen Energy has taken final investment decision to build the 20MW West Wales Hydrogen production facility on a former oil refinery site within the Celtic Freeport at Milford Haven.
Capacity, timeline and applications
The plant is expected to produce approximately 2,000 tonnes per annum of low‑carbon hydrogen compliant with the UK Low Carbon Hydrogen Standard. Construction is due to begin in 2026 with commissioning planned for early 2028. Output is intended for port decarbonisation, industrial heating, manufacturing and use as chemical feedstock.
Supply chain, financing and scalability
Sheffield‑based ITM Power has been selected to supply the electrolyser system. Project financing is being provided by Lloyds and Société Générale. The site is designed to scale in later phases and to act as a hydrogen hub supporting industrial decarbonisation across south Wales.
Policy support and emissions impact
The project secured support through the UK Government’s hydrogen allocation round (HAR1), including grant funding via the Net Zero Hydrogen Fund and 15 years of revenue support under the Hydrogen Production Business Model. It is expected to achieve over 15,000 tonnes of CO2e emissions savings annually.
Source: trafigura.com
