Mott MacDonald supporting landmark UK green hydrogen project

Technical and environmental expertise for green hydrogen facilities

Mott MacDonald is providing lender’s technical and environmental support to the West Wales Hydrogen project, a production facility that will deliver 2000t of low-carbon hydrogen annually.

Mott MacDonald provided technical due diligence on the project’s design, contracting structure, construction and operational plans, cost and schedule assumptions and key risks, and is now advising the lenders on bankability and ongoing monitoring requirements.

Developed by MorGen Energy, a large-scale green hydrogen ecosystems developer, West Wales Hydrogen is the first project-financed green hydrogen project in the UK and Europe and the first to reach financial close under the UK government’s Hydrogen Allocation Round 1.

Located at the former oil refinery site in Milford Haven within the Celtic Freeport of Wales, the project will feature a 20MW electrolyser system supplied by Sheffield-based ITM Power and will deliver approximately 2000t of low-carbon hydrogen each year.

The development has secured 15 years of revenue support under the UK Government’s Hydrogen Production Business Model, alongside grant funding from its Net Zero Hydrogen Fund.

We appreciate the rigorous support provided by Mott MacDonald as lenders’ technical and environmental advisor, whose work helped ensure a robust and bankable project structure

Claudio Tassistro, managing director, energy, Europe for Mott MacDonald, commented: “We’re excited to support this landmark transaction, which demonstrates the UK’s commitment to clean energy innovation. Our technical expertise will support the facility to supply hydrogen across a range of end uses, including port decarbonisation, industrial heating, manufacturing and chemical feedstock, advancing the transition of hard-to-abate industries to low-carbon energy sources and setting a precedent for future projects across the UK and Europe.”

Christos Kosmas, chief financial officer for MorGen Energy, commented: “Reaching financial close on West Wales Hydrogen is an important milestone for the UK green hydrogen market. We appreciate the rigorous support provided by Mott MacDonald as lenders’ technical and environmental advisor, whose work helped ensure a robust and bankable project structure. We look forward to continuing this collaboration through construction and delivery.”

Construction of the hydrogen facility is expected to commence later in 2026, with commissioning targeted for early 2028.