Lhyfe (EURONEXT: LHYFE), a global leader in green and renewable hydrogen production, has secured up to €11 million (SEK 130 million) in funding from Klimatklivet, a Swedish investment program supported by the Swedish Environmental Protection Agency and co-financed by the European Union. The funding will support the development of a renewable hydrogen production facility in Vaggeryd, Jönköping County, Sweden.
Strategic Location for Hydrogen Infrastructure
Vaggeryd is strategically positioned between Stockholm, Gothenburg, and Malmö, near major transport hubs such as the E4 motorway and national road 40, making it an ideal location for hydrogen-powered transport solutions. As Sweden transitions to cleaner energy, demand for green hydrogen is increasing, particularly for hydrogen refueling stations currently under construction along key transport routes.
Beyond the transport sector, industries in the region will also benefit from hydrogen for heating and production processes.
Project Scope and Impact
- 10 MW electrolyzer capacity, capable of producing up to 4.4 tons of green hydrogen per day.
- First hydrogen production expected in 2027.
- The project builds on Lhyfe’s existing Swedish hydrogen infrastructure, following an earlier Klimatklivet grant for a similar Trelleborg facility.
- Waste heat from the plant will be used in Vaggeryd’s district heating network, improving energy efficiency.
- The investment support will cover approximately 35% of the total estimated project cost.
Strengthening Sweden’s Hydrogen Economy
Lhyfe has been a pioneer in renewable hydrogen production since launching its first plant in Bouin, France, in 2021. The company has since expanded operations across France, Germany, and other European markets, with a growing pipeline of 10 GW hydrogen projects across 12 countries.
Sara Wihlborg, Country Manager Sweden at Lhyfe, emphasized the importance of this project:
“We are delighted to receive Klimatklivet’s support for our second Swedish project. Green hydrogen is crucial for Sweden’s industrial competitiveness and energy security, offering a locally produced, sustainable energy source. With these two Klimatklivet-backed facilities, we are ensuring a robust and competitive hydrogen supply for our customers in Sweden.”
Next Steps and Regulatory Approvals
The project is subject to foreign investment authorization, environmental and operational permits, building approvals, and a final investment decision. Once operational, it will play a key role in Sweden’s transition to a fossil-free future.
