Recent developments
Policy and finance
The EU advanced industrial decarbonisation via the Commission’s €1 billion pilot auction for industrial heat decarbonisation. OMV plans to invest an average of EUR 2.8 billion annually through 2030, with 30% to sustainable projects. TotalEnergies and Veolia are collaborating on methane abatement, water reuse, desalination energy, and recovery of strategic elements from waste.
Hydrogen and molecules
Refinery hydrogen efficiency progressed with the world’s largest multi‑megawatt high‑temperature electrolyzer starting up in Rotterdam. In the Netherlands, the BaseLoad Power Hub arrived to pilot integrated hydrogen production, storage, and conversion. Maritime fuel testing advanced via funding from the Maritime and Port Authority of Singapore to prepare ammonia bunkering.
Grid and batteries
To support electrification, Borealis is expanding its cross‑linked polyethylene (XLPE) production in Sweden for MV/HV/EHV cable systems. Anode interfaces improved with a chromium‑ and fluoride‑free passivation solution for copper foils that meets EU Battery Regulation requirements.
Liquid fuels transition
On liquids, Repsol began producing gasoline from 100% renewable sources at an industrial scale in Tarragona. In Italy, Eni moved to transform its Priolo site in Sicily into a biorefinery and chemical recycling plant using Ecofining and Hoop. Eni and YPF signed the Final Technical Project Description for the Argentina LNG project.
Competitiveness and demand
Cost and trade pressures persisted: INEOS plans to shut down two production units in Rheinberg and is reducing its workforce by 20% at the Hull Acetyls plant. Strategic concerns were underscored as the INEOS Chief urges EU politicians to act. Resourcing and demand adjusted, with Ørsted plans to reduce its workforce by approximately 2,000 positions by 2027 and Exolum delivered 3.6 million cubic meters of oil products to the Spanish market.