Statkraft sells Scatsta and Tagdale projects
STATKRAFT has announced that it has sold its two Shetland green hydrogen and ammonia projects to a Norwegian-owned company.
Its Scatsta and Tagdale projects will now be taken forward by Kentron Green Nordic AS, which has a presence in the UK.
It comes after Statkraft announced last year that it would stop developing new green hydrogen projects and seek investors to take forward its existing portfolio in UK, such as the Shetland schemes.
It previously cited uncertainty in the market as a reason behind the move.
A Statkraft spokesperson said: “We are pleased to have completed the divestment process for our UK green hydrogen projects, which will allow these schemes to be taken forward into construction and operation under new ownership.
“Market activities related to hydrogen will continue to be part of Statkraft’s portfolio, and the UK will continue to play a key role in helping the global business reach its ambitious investment goals for solar, onshore wind, hydropower, and grid stability services.”
The Scatsta project involves plans for an electrolytic hydrogen to green ammonia production facility of up to 400MW, on land adjacent to the disused Scatsta Airport.
The Tagdale project, located near Dales Voe on the outskirts of Lerwick, would see ammonia produced from wastewater, atmospheric nitrogen and renewable energy.
Both projects have yet to reach the construction phase.
Statkraft said ammonia is a common ingredient used to produce fertiliser, critical to agricultural food production, while it can be used as a carbon-free fuel.
Statkraft continues to hold three wind farm projects in Shetland, all of which have consent but are not yet constructed.
These are Mossy Hill near Lerwick, which is the most advanced in terms of timeline, and Energy Isles and Beaw Field in Yell.
Kentron Green Nordic AS meanwhile is part of the group currently developing a portfolio of wind farms and green ammonia projects, including Neptun Glomfjord Green Ammonia and Neptun Tromsø.
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