Another major supply contract for Arcadia eFuels’ planned plant on Masnedø has fallen into place.
The company has signed an agreement with US-based Plug Power for the delivery of a 280 MW electrolysis plant. The facility uses electricity to split water into hydrogen and oxygen. The hydrogen will then be combined with captured CO₂ and converted through several processes into synthetic aviation fuel.
Plug Power was selected as a supplier to the plant as early as 2023. After three years of joint engineering work, the parties have now taken the next step with a specific supply agreement for Vordingborg.
At the same time, according to Martin Nielsen, who is responsible for Arcadia’s project in Vordingborg, the partnership is being expanded so that Plug Power can also supply electrolysis plants to several of the facilities Arcadia is planning in Europe and the Americas.
He also says that the delivery to Vordingborg is conditional on Arcadia reaching its final investment decision, known as FID. If that happens, Plug Power is due to deliver the plant in 2029.
Arcadia will install 280 MW of capacity but, according to Martin Nielsen, expects to normally operate at 240 MW.
The plant is planned to produce around 80,000 tonnes of synthetic fuel a year. Arcadia recently signed a binding agreement with Uniper for the sale of up to 40,000 tonnes annually, but still needs to assemble financing of around DKK 15 billion before construction can begin.
