Renewable Ammonia Project in Sauda Secures Zoning Approval

Hy2gen Nordic AS has teamed up with Copenhagen Infrastructure Partners and Iverson eFuels to snag zoning approval from the Sauda Municipal Council for the Iverson renewable ammonia project in Birkeland, right in the heart of Sauda, Rogaland County. It’s a big win that dovetails neatly with Norway’s climate goals and Rogaland’s push for zero-emission industry.

With Trafigura handing over its stake to Hy2gen Nordic back in 2024, the group now has a crystal-clear roadmap: build a 270 MW facility driven by hydrogen electrolysis to crank out green hydrogen and then convert it into renewable ammonia—a drop-in fuel for ships. The concept is straightforward yet powerful: tap into local hydropower, split water into hydrogen, mix it with nitrogen, and boom—you’ve got ammonia.

It’s not the first time Norway’s leaned on hydrogen and ammonia either. These workhorses have powered our heavy industry for over a century, thanks to abundant hydroelectric resources. What’s fresh now is the green spin, syncing perfectly with Europe’s post-Paris ambitions to decarbonize shipping and heavy transport.

How the Technology Works

Electricity from Sauda’s hydropower grid will feed a 270 MW electrolyzer—think proton exchange membrane or classic alkaline systems—where water breaks down into hydrogen and oxygen. The hydrogen then heads into a modern Haber-Bosch loop, teams up with nitrogen pulled straight from the air, and out pops ammonia. Since every step runs on renewable juice, this green ammonia plant delivers truly zero-carbon renewable ammonia.

Solving Real-World Problems in Shipping

Let’s face it—ships still gulp down bunker fuel that spews CO₂ and sulfur oxides like there’s no tomorrow. By supplying ammonia made with green hydrogen, the Iverson site is aiming for nearly three million tonnes of CO₂ savings in its first decade—that’s like yanking 1.5 million cars off the road. It’s a classic Power-to-X victory, giving shipowners a ready-to-go green alternative.

Positive Impact for Sauda’s Economy

Sauda stands to score more than environmental brownie points. We’re talking over 300 construction jobs and around 50–60 permanent positions once the plant is humming. By tapping into Sauda’s long-running hydropower expertise and industrial roots, the project bolsters the town’s economy. It’s a genuine “Made in Norway, made for Norway’s future” moment—broadening the local economic base beyond metallurgy and injecting fresh skills and investment.

A Blueprint for Future Power-to-X Projects

With zoning officially in the bag, the consortium is gearing up for detailed engineering, permitting, and that all-important final investment decision. This project is a real-life blueprint for how Power-to-X can transform traditional industrial towns into green innovation hubs. If all goes to plan, Iverson will be the poster child for similar facilities across Europe and beyond.

Looking ahead, we’re on the brink of something huge—a genuine game-changer for shipping decarbonization and regional growth. By harnessing Norway’s hydropower might and pairing it with cutting-edge electrolysis, Hy2gen Nordic AS, Copenhagen Infrastructure Partners, and Iverson eFuels are drawing up a whole new playbook for how we fuel the future.