P2X-Europe seeks JV partners to develop new green fuel projects in Spain, Portugal and the US

P2X-Europe, a Hamburg-based power-to-liquids (PtL) fuel producer, is interested in exploring new joint ventures (JVs) in Europe and the Americas, CEO Detlev Wösten told TTR Data.

P2X-Europe is interested in receiving proposals from advisors to expand its pool of potential partners, he said, declining to name any currently on retainer. The company is structured as a JV between Hamburg-based Mabanaft, a provider of energy solutions and H&R Group [FRA:2HRA], a developer and manufacturer of specialty chemical and pharmaceutical products. P2X-Europe develops, builds and invests in vertically integrated end-to-end Power-to-Liquid technology solutions, aiming to enable the market introduction of synthetic net-zero chemicals and fuels. Founded in 2021, the company specializes in sustainable aviation fuel (e-fuels) produced using green energy, Woesten said, declining to provide revenue figures for the JV.

Publicly listed on the Frankfurt exchange since 2001, H&R generated EBITDA of EUR 124.9m in 2022 on revenue of EUR 1.57bn. Revenue was up EUR 387.6m over the previous year, while EBITDA fell EUR 7.6m, said Woesten, who also serves as CSO of H&R Group. The company generated net profit of EUR 45.4m in 2022, meanwhile, representing a EUR 7.1m decline relative to 2021, he added.

H&R Group operates in Europe in Germany, France, UK, The Netherlands and Spain, and in the Asia Pacific region in Australia, India, Indonesia and China, as well as in Brazil, South Africa and the US, among other regional markets, Woesten noted. A Mabanaft spokeswoman declined to disclose the company's financial information. The company has 1,350 employees and operates primarily in Europe, Africa and Asia.

P2X-Europe is actively seeking partners for up to 12 new sustainable aviation fuel plants powered by green energy, Woesten said. The company is primarily considering locations in Europe for its new e-fuel projects, he said. “As green hydrogen solutions expand globally, our opportunity clearly expands globally,” he added. The US, with the investment facilities associated with the Inflation Reduction Act (IRA) of 2022, is one of its primary target markets, the CEO noted.

P2X-Europe develops projects with an initial green hydrogen production capacity of up to 20,000 tons per annum that require up to EUR 400m in investment, Woesten said. The company has three projects in its pipeline in Norway, Portugal and Spain.

In May, P2X-Europe closed a committed project agreement with A Coruña-based solar, wind and biomass energy provider Greenalia Power for the production of 11,000 tons of green hydrogen annually, Woesten said (see related trasnactions). The project represents an investment worth EUR 300m, he noted. P2X is considering new project locations in northwest Spain, he added. “The region is of interest to us given regions like Galicia combine very attractive amounts of solar, wind and biomass, as well as water resources that are key for green

Añadir a la Lista 

energy-based PtL production,” Woesten noted.

P2X-Europe is keen to adapt its role in its JVs, prioritizing supply chain control on the renewable energy it needs for its e-fuel production, Woesten said. In Norway, for example, the company closed an off-take agreement with Oslo-based producer of synthetic crude Nordic Electrofuel in June, while structuring its venture in Spain as a full-fledged development project, he noted. “We learned that flexibility needs to be a vital part of our DNA,” the CEO added.

P2X Europe manages its environment, social and governance (ESG) strategy in Spain adapting its focus to the requirements of local conditions, Woesten said. “In Spain and Portugal, for example, we are keen to prioritize biomass-based carbon-sources,” he noted.

The CEO declined to identify potential competitors. Market reports cite Paris-based Air Liquide [EPA:AI], Dublin-based The Linde Group [FRA:LIN]; Soborg, Denmark-based European Energy, Helsinki-based P2X Solutions and Espoo, Finland-based Neste among its industry peers.

P2X-Europe primarily uses an equity financed JV model to expand its business, Woesten said.

Up