Petronor and H2SITE Drive Hydrogen Production in Refining with Membrane Reactor Technology

Petronor, a Repsol subsidiary running the Muskiz refinery in Spain’s Basque Country, has linked up with H2SITE to bring high-purity green hydrogen production directly into the refining process. Using H2SITE’s membrane reactor tech, they’ll replace a chunk of grey hydrogen at Muskiz with locally made, clean hydrogen—driving regional industrial decarbonization and backing the EU’s energy transition.

Partnership Overview

• Who: Petronor (part of Repsol) and H2SITE (a Tecnalia/TU Eindhoven spin-off).
• What: Rolling out modular membrane reactor systems for on-site hydrogen production and separation.
• Where: At the Muskiz refinery, in the Bilbao port area, Basque Country, Spain.
• Why: To cut CO₂ emissions by swapping grey hydrogen, tap into IPCEI Hy2Use funding, and beef up the Basque Hydrogen Corridor.
• When: Announced this month, after years of H2SITE’s pre-commercial R&D and prep work on Petronor’s 100 MW “Bay of Biscay Hydrogen” electrolysis project.

Membrane Reactor Technology

What’s cool about H2SITE’s membrane reactors is they pack hydrogen production and separation into one sleek module. Inside, catalytic reaction zones work alongside a palladium-based membrane that filters out impurities, so you get high-purity hydrogen without any extra cleanup steps. The design’s fully modular, ready to scale up or down, and built to slot into existing hydrogen infrastructure—or blend seamlessly with compression and distribution lines. They’re keeping pilot capacities under wraps, but it’s designed as a bankable, turn-key solution for industrial hubs.

Strategic and Regional Impact

This partnership isn’t just a flashy pilot. With the backing of the EU’s IPCEI Hy2Use programme—through which Petronor’s 100 MW electrolyser snagged about €160 million in co-funding—they aim to replace up to 38 percent of the refinery’s grey hydrogen and chop around 167,000 tonnes of CO₂ every year. It’ll also curb natural gas imports and spark fresh jobs in engineering, construction, and plant operations across the Basque Country.

On top of refining, these membrane reactor modules could feed a growing regional demand for hydrogen-powered mobility and heavy transport, fast-tracking the Basque Country’s bid to become a hydrogen hub. At the EU level, it lines up perfectly with Spain’s National Integrated Energy and Climate Plan (PNIEC 2023-2030), which targets 12 GW of electrolyser capacity by 2030.

Context and Next Steps

Petronor’s been on the green hydrogen trail since around 2020, teaming up on H2BASQUE and ONTZHi projects. H2SITE, meanwhile, grew out of a decade-long collab between Tecnalia and Eindhoven University of Technology, with early support from Engie. Now, both outfits are gearing up for commercial trials to test how these membrane reactors hold up under real refinery conditions.

Building the 100 MW “Bay of Biscay Hydrogen” electrolyser starts now and should wrap up by mid-2028. Once it’s live, electrolysis and membrane reactors will run in tandem. Keep an eye on this pilot—it’ll shed light on real-world reliability, economics, and how quickly they can scale. If it clicks, you’ve got a playbook that other Repsol sites—or any refiner looking for a modular, bankable solution—can follow.

As the EU cranks up focus on industrial decarbonization and rolling out green hydrogen, the Petronor–H2SITE tie-up offers a prime example of marrying electrolytic and membrane reactor tech. It’s a blueprint for how targeted partnerships can bridge R&D and full-scale operations, moving us closer to zero-emission refining.

About the Companies

Petronor operates the Muskiz refinery and is part of the Repsol group. It’s spearheaded projects that blend oil refining with renewables, like its 100 MW “Bay of Biscay Hydrogen” electrolysis plant.

H2SITE spun out of Tecnalia and TU Eindhoven, specializing in membrane reactor systems that produce and separate high-purity hydrogen in one go.

Repsol is a global energy company headquartered in Spain, spanning oil, gas, and renewable businesses. Petronor’s hydrogen initiatives are a key piece of its larger energy transition strategy.