JV between bp and Iberdrola España has reached the final phase of construction of what will be the largest green hydrogen plant in Spain

The plant has reached 90% completion of its assembly phase and has 100% of the equipment on site.
Commissioning period will begin in May 2026

Green Hydrogen

Four professionals wearing helmets and high-visibility vests pose at an industrial plant on a rainy day. Behind them is a building displaying the bp and Iberdrola logos, along with large tanks and industrial structures, in a facility linked to energy projects.

Visit to Iberdrola España and bp's green hydrogen plant in Castellón

The joint venture between bp and Iberdrola España- Castellón Green Hydrogen S.L - has announced that its 25 MW green hydrogen project, which will be the largest operating project in Spain, has reached 90% completion of its assembly phase with all the equipment on site, including the electrolyzer system supplied by Plug Power. Around 25 Spanish companies are involved in the construction of the plant.

The commissioning period, which includes testing to monitor the operation and performance of the equipment, is scheduled to begin in May 2026.

This milestone reinforces bp and Iberdrola España's leadership in the green hydrogen sector in Spain, an energy vector that has the potential to play a significant role in the decarbonization of industry

Julio Castro, CEO of Iberdrola Energía Sostenible España, company that is part of Iberdroola España, said: “This project is a tangible example of industrial electrification, which reduces CO₂ emissions and strengthens energy security. This plant will be powered by 200 GWh/year of renewable energy from our wind farms and photovoltaic plants in Spain”.

For her part, Carolina Mesa, VP Hydrogen, Europe & MENA at bp, said: “These developments are great news for the Spanish energy sector. They reflect tangible progress in a key industrial decarbonization project and consolidate bp's refinery in Castellón as the benchmark in the country.”

The project has an investment of more than €70 M and is being developed jointly by bp and Iberdrola España through Castellón Green Hydrogen S.L., a company equally owned by both companies.

The 25 MW electrolyser will be powered by renewable electricity through a power purchase agreement (PPA) supplied by Iberdrola España from photovoltaic and wind farms. The production of 2,800 tonnes of green hydrogen a year is expected to replace part of the grey hydrogen currently used by the refinery in its processes and is expected to prevent the emission of approximately 23,000 tonnes of CO2 a year, equivalent to the CO2 production from 5,000 cars over the the same period.

This initiative, with the participation of the Instituto Tecnológico de la Energía (ITE), has obtained funding equivalent to €15 M from the Innovative Value Chain and Renewable Hydrogen Knowledge support programs of the Spanish Recovery, Transformation and Resilience Plan, with funds allocated by the European Union's NextGenerationEU.

bp and Iberdrola España continue to explore opportunities to increase green hydrogen production at the Castellón refinery.

JV between bp and Iberdrola España has reached the final phase of construction of what will be the largest green hydrogen plant in Spain

JV between bp and Iberdrola España has reached the final phase of construction of what will be the largest green hydrogen plant in Spain

The joint venture between bp and Iberdrola starts construction work on Spain's largest green hydrogen plant

bp and Iberdrola choose the Toledo-based Imefy for the supply of the main transformer for their green hydrogen plant

bp & Iberdrola España announce final investment decision for largest green hydrogen plant in Spain

We are celebrating 125 years together