Stargate Hydrogen opens modular electrolyser factory in Estonia

Stargate Hydrogen launches 140 MW factory in Estonia with modular expansion model amid cautious hydrogen investment climate.

Share:

Subscribe for unlimited access to all the latest energy sector news.

Over 150 multisector articles and analyses every week.

For less than €3/week*

*For an annual commitment

*Engagement annuel à seulement 99 € (au lieu de 149 €), offre valable jusqu'au 30/07/2025 minuit.

Stargate Hydrogen opened a new electrolyser production facility in Tallinn, the capital of Estonia, on June 6. The event gathered political figures including Estonian Prime Minister Kristen Michal and sector representatives such as Hydrogen Europe Chief Executive Officer Jorgo Chatzimarkakis. The site is dedicated to the manufacture of alkaline electrolysis systems for hydrogen production.

Initial capacity and expansion potential

The factory’s first phase includes an annual production capacity of 140 megawatts, with the option to scale beyond 1 gigawatt through limited additional investments. Stargate Hydrogen has adopted an industrial strategy based on a pre-existing site and a modular layout of its production lines. This approach aims to limit initial fixed costs while enabling gradual ramp-up.

Chief Executive Officer Marko Virkebau stated that current production is fully booked through the end of 2025. Systems are already being shipped to established clients in Europe, the Middle East, Turkey and India.

European support and financial stability

The project holds the status of Important Project of Common European Interest (IPCEI), granting it access to European public funding. This support has attracted institutional investors and enabled an industrial rollout without resorting to oversized capacity.

According to Stargate Hydrogen executives, several comparable projects in Europe are currently underutilised. In response, the company has opted for modular growth, avoiding the large-scale investments associated with oversized factories.

Delivery rollout and new markets

Among the systems showcased during the inauguration was a unit ready for delivery to Fortum. The factory is also finalising the assembly of several electrolysis stacks. The Tallinn site primarily targets hydrogen-intensive industries such as steel, fertilisers and chemicals.

The company reports increasing demand in its established European markets and growing interest in new geographic regions, notably the Middle East and Asia. This trend reinforces the incremental development strategy implemented by the firm.

HydrogenXT secures a $900mn agreement with Kell Kapital Partners Limited to develop the first ten local zero-carbon blue hydrogen plants along key logistics corridors in the United States.
Elogen completes delivery of a 2.5 MW proton exchange membrane electrolyser for the Baseload Power Hub, linked to the Hollandse Kust Noord offshore wind farm and operated by CrossWind joint venture.
Fotowatio Renewable Ventures joins forces with Envision Energy for the H2 Cumbuco project, aiming for a 500MW green ammonia plant targeting Brazilian, European, and Asian markets.
Element 2 strengthens its partnership with HRS to install a mobile hydrogen station in Glasgow, as part of its expansion strategy for its refuelling network in the United Kingdom and Ireland.
Global hydrogen development, supported by more than 1,500 ongoing projects and significant investments, is driving strong demand for insurance coverage, with potential estimated at over USD3bn in annual premiums by 2030.
ArcelorMittal Brazil begins a collaboration with Utility Global to develop a clean hydrogen project using the patented H2Gen system, aimed at producing up to 3 tons per day at the Juiz de Fora plant.
ENERTRAG announces the acquisition of a plot in Prenzlau to install a 130 megawatt green hydrogen production unit, with a planned investment of €300 mn, thereby supporting the regional economy and local industrial sector.
H2APEX Group SCA has completed a EUR30mn ($32.5mn) capital increase to finance the acquisition of HH2E Werk Lubmin GmbH and support the development of its hydrogen project in Germany. —
Next Hydrogen launches the largest onsite clean hydrogen production and distribution station in Ontario, capable of supplying up to 650 kg per day for powering fuel cell forklifts.
A 5,500-horsepower harbour vessel was bunkered with green ammonia at the Dalian terminal, marking the creation of a full value chain for this fuel and a technical milestone for the maritime sector.
Air Liquide begins construction of the ELYgator electrolyser in Rotterdam, a 200 MW project, supported by the Dutch government and an investment exceeding €500 mn.
A pilot project in Germany aims to produce green hydrogen at sea directly from untreated seawater on offshore wind farms, using marine bacteria and robust materials.
BP withdraws from the Australian Renewable Energy Hub, a major renewable hydrogen and ammonia project in the Pilbara region, marking a new stage for energy investments in Australia.
Next Hydrogen raises CAD1.5mn from its management and a commercial lender to strengthen its cash flow and retain teams, while maintaining its review of financial and strategic solutions.
The first European citizen funding campaign dedicated to green hydrogen enabled Lhyfe to collect €2.5mn from nearly 1,200 investors, strengthening the development of new sites in France and Germany.
In the face of renewable energy intermittency, Power-to-Hydrogen-to-Power (PtP) technology could revolutionize energy storage. However, its adoption still depends on cost reduction and efficiency improvements.
South Korean company YPP and Kazakh Invest have signed a framework agreement for the development of a green hydrogen production project in Kazakhstan, with investments potentially reaching $3.1 billion.
The Dutch government has granted major funding to HyCC for its H2eron electrolysis project, aimed at producing renewable hydrogen in the Delfzijl industrial zone.
ACWA Power has signed several agreements with European partners to develop a green energy export chain between Saudi Arabia and Europe, as part of the India-Middle East-Europe Economic Corridor project.
Manufacturer Stellantis halts production of its hydrogen-powered commercial vehicles, citing a lack of commercial prospects and an insufficient market, according to a statement released by the automotive group.
Consent Preferences