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DESFA and ELINOIL to cooperate in the field of hydrogen

Greece’s natural gas transmission system operator DESFA and energy group ELINOIL, the lead supplier of fuel and lubricant to industrial plants, announced their intention to proceed with a Memorandum of Understanding (MoU) in the framework of the Important Project of Common European Interest for Hydrogen (IPCEI Hydrogen).

In particular, the two companies will explore the possibilities of their cooperation in the project, as well as other relevant initiatives in the hydrogen value chain that incorporate or create synergies related to IPCEI Hydrogen, based on their mutual understanding of the importance of developing hydrogen infrastructure and the general promoting of its use in Greece and the wider region.

DESFA recently submitted a proposal for the project EL24 – H2 Hellenic Network, which concerns the construction of a regional, open access, high-pressure network for clean hydrogen transmission, along with the Greek territory. The purpose of the H2 Hellenic Network, which has been pre-selected by Greece under IPCEI Hydrogen, is to connect supply with demand throughout the country and in particular the production points that are currently located mainly in the southern part of the country – up to the Greek-Bulgarian border and the area from Thessaloniki to Kavala, where there are storage facilities, as well as some hydrogen-intensive industries.

The project will be the starting point for a growing hydrogen network – both in scope and volume – that will be connected with potential partners, who either produce or consume hydrogen, in Greece and in neighbouring countries, constituting the southeastern part of the European Hydrogen Backbone (EHB), the initiative of 23 European Transmission System Operators to develop a hydrogen transmission network across Europe.

For its part, ELINOIL, by supplying fuel to an extensive network of gas stations and having a leading presence in the supply of Greek industry with liquid and solid fuels and lubricants, aims to expand its business activity to the production and distribution of green hydrogen for road transport and industrial consumption through service stations or pipelines.

The mutual intention of the two companies to cooperate is based on the common understanding of the importance of the development of the hydrogen value chain in Greece, as this will accelerate the progression to decarbonisation and will create new opportunities for economic growth and employment.

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