Linz hydrogen plant gains storage and transport capacity

Voestalpine and Verbund have invested 16.4 million euros over three years to expand the H2Future hydrogen pilot plant in Linz, ORF reported. The upgrades include compression and purification equipment and five storage tanks, allowing hydrogen to be prepared for industrial use, stored and transported.

The plant, which has operated since 2019, is one of the world’s longest-running proton exchange membrane electrolysis facilities, the companies said. It can produce about 1,200 cubic metres of green hydrogen per hour.

Four of the new tanks will balance fluctuations between production and consumption. From the end of 2027, the fifth is due to supply hydrogen through a roughly one-kilometre pipeline to HY4Smelt, a demonstration plant. Hydrogen compressed to 500 bar can also be transported in trailers to external users.

Hydrogen production remains more expensive than expected, costing about 7 to 9 euros per kilogram, Voestalpine chief executive Herbert Eibensteiner said. That is well above the anticipated 2 to 3 euros per kilogram. Eibensteiner said the plant’s current output could produce about two tonnes of steel per hour.

Voestalpine plans to start operating electric arc furnaces powered by green electricity in Linz and Donawitz in mid-2027. The company aims to cut carbon dioxide emissions by up to 30 percent by 2029 and achieve net-zero emissions from steel production by 2050. Hydrogen is expected to play a key role, but Eibensteiner said producing the quantities needed to decarbonise steelmaking in Europe would be difficult. Verbund chief executive Michael Strugl said imports would therefore have to be considered.

H2Future is receiving 4.5 million euros in public funding, with Voestalpine and Verbund covering the remainder of the expansion costs. Strugl said projects without subsidies were not yet economically viable.