Japanese trading powerhouse Itochu and utility giant Osaka Gas are making a significant foray into the hydrogen sector, revealing plans to acquire a stake of up to 40% in Danish hydrogen producer Everfuel, sources report. Everfuel, slated to commence production of 3,000 tonnes of hydrogen annually in 2024, is set to become a major global player, aligning with Japan’s ambitious target to consume 3 million tonnes of hydrogen by 2030 for decarbonization efforts.
In a strategic move, Itochu and Osaka Gas have formed a joint venture, intending to acquire just under 14% of Everfuel’s shares in the coming spring. The collaboration aims to gradually increase the stake to 30-40% through the acquisition of new shares and other means. Everfuel, recognized for operating hydrogen stations in Denmark and the Netherlands, will undertake large-scale hydrogen production in Denmark, generating “green hydrogen” from renewable sources, thereby contributing to the broader goal of sustainability.
The collaboration extends beyond acquiring a stake, as Itochu and Osaka Gas plan to leverage Everfuel’s expertise to expedite the development of a robust hydrogen supply chain, encompassing their production bases. With a total investment expected to reach about 10 billion yen ($68.8 million), the Japanese entities envision enhancing their capabilities to play a pivotal role in the burgeoning hydrogen sector both domestically and internationally.
Hydrogen, being a clean energy source, holds immense potential for diverse applications, from steelmaking to transportation and power generation. The move by Itochu and Osaka Gas reflects a broader trend in Japan, with other companies like Eneos Holdings and Sumitomo Corp. also actively pursuing expertise in hydrogen production, signaling the industry’s strategic importance in the global push toward decarbonization.
