Trafigura reaches FID for green hydrogen project in Wales

Trafigura has announced that its wholly owned subsidiary, MorGen Energy, has taken the final investment decision (FID) to begin construction of a 20 MW green hydrogen production facility in Milford Haven, Wales. Construction is scheduled to begin in 2026, with commissioning expected by early 2028. It is expected to produce approximately 2,000 tonnes of low-carbon hydrogen annually. MorGen Energy has selected ITM Power to provide the electrolyser system for the project. Financing for the development is being provided by Lloyds and Societe Generale. 

The project, known as West Wales Hydrogen, is among the initial projects supported under the UK government’s Hydrogen Allocation Round 1 programme to reach this stage. It will be developed on the site of a former oil refinery located within the Celtic Freeport area. Furthermore, the hydrogen produced will be used across several applications, including port decarbonisation, industrial heating, manufacturing processes and as chemical feedstock. The output will comply with the UK’s Low Carbon Hydrogen Standard. 

In January 2026, Trafigura, CF Industries Holdings Inc. and TFG Marine signed an MoU to advance the adoption of low-carbon ammonia as a marine fuel. The companies will collaborate on market development, stakeholder engagement, and planning of bunkering logistics to support the use of ammonia in maritime transport. The initial focus will be in the US Gulf Coast and Northwest Europe.