Copenhagen Infrastructure Partners (“CIP”) has invested in a large-scale Power-to-X project in Sines, Portugal.
The project, MadoquaPower2X, entails the construction of a utility-scale facility which will utilize an electrolyzer to convert renewable energy such as solar and wind power to green hydrogen and green ammonia. The electrolyzer with a capacity of 500 MW will be able to produce 50,000 metric tons of green hydrogen and 500,000 metric tons of green ammonia each year.
The green hydrogen will be utilized by the local industrial community but it is also possible to process green ammonia for exports from the harbor in Sines.
MadoquaPower2X is being developed and constructed by a consortium comprised of CIP, the Portuguese developer Madoqua Renewables and the Dutch project- and consultancy firm Power2X. CIP is investing via its Energy Transition Fund (Copenhagen Infrastructure Energy Transition Fund). The total investment of the project amounts to EUR 1 billion.
The facility is a key element in Portugal’s overall strategy within renewable energy and first production from the facility is expected in 2025.
As lead counsel for CIP, Accura drafted and negotiated all transaction agreements in relation to carrying out CIP’s investment and forming the consortium.