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World desk4 min

Europe’s Largest Green Hydrogen Project Begins $1.2 Billion First Phase in Spain

Moeve’s Onuba project in Huelva launches the first phase of the Andalusian Green Hydrogen Valley, with more than €1 billion invested, 300 MW of electrolysis and a planned 2029 start.

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Moeve has started construction of Onuba, the first phase of the Andalusian Green Hydrogen Valley, at its Energy Park in Palos de la Frontera, Huelva. The project is intended to become one of Europe’s biggest renewable-hydrogen developments, with the first plant scheduled to enter service in 2029.

What started in Huelva

Construction began on 17 September 2026 at Moeve’s Energy Park in Palos de la Frontera, in Spain’s Huelva province. Onuba is the name of the initial development and the first build-out of the wider Andalusian Green Hydrogen Valley.

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Moeve describes the valley as Europe’s largest renewable-hydrogen project. Engineering News-Record uses the same framing for the broader development and reports that the first phase is expected to operate in 2029. That “largest” description is a developer and trade-publication characterization and can change as competing European projects are approved, financed and built.

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Moeve chief executive Maarten Wetselaar said the project moves the company “from green hydrogen pilot projects towards the chapter of large-scale construction.” Spanish Prime Minister Pedro Sánchez said the government’s goal is to provide investment certainty and expand industrial supply, while European Commission Executive Vice-President Teresa Ribera called the energy transition an opportunity to make industry stronger, more innovative and more autonomous.

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Onuba’s first-phase specifications

Metric Onuba first phase
Electrolyzer capacity 300 MW
Expansion option An additional 105 MW, according to Moeve
Investment More than €1 billion; Engineering News-Record presents the same commitment as approximately $1.2 billion
Planned operation 2029
Public support €304 million from Spain’s Recovery, Transformation and Resilience Plan, financed by NextGenerationEU

The dollar figure is a currency presentation of the more-than-€1-billion investment, not a second investment package. The electrolyzers will use renewable electricity to split water into hydrogen and oxygen; the project materials identify the product as renewable, or green, hydrogen.

How large the full valley could become

Onuba is only the first phase. The Andalusian Green Hydrogen Valley’s stated long-term ambition is 2 GW of combined electrolysis capacity and as much as 300,000 tonnes of green hydrogen production each year. Those figures describe the entire valley rather than the 300 MW Onuba installation.

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The development is intended to supply sectors in which direct electrification is difficult. Planned applications include lower-carbon fuels for road, aviation and maritime transport, as well as industrial uses. Engineering News-Record identifies chemical production, steel, cement, heavy maritime transport and aviation among the potential customers and links the plan to a maritime hydrogen corridor connecting southern Europe with northern Europe through Rotterdam.

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Who owns and is building Onuba

Moeve is the controlling investor, with a 51% stake. Hy24 and COFIDES together hold 29%, while Enagás Renovable and Alter Enersun hold the remaining 20%.

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Participant Role or interest
Moeve 51% owner and project lead
Hy24 and COFIDES 29% combined ownership
Enagás Renovable and Alter Enersun 20% combined ownership
Siemens Energy Leader of the engineering, procurement and construction consortium
STRABAG Civil-works contractor
Thyssenkrupp Nucera Primary alkaline-electrolyzer supplier
Alfa Laval and Industrie De Nora Additional key suppliers identified by Engineering News-Record

Expected production and emissions benefit

Moeve says the first phase is designed to produce about 45,000 tonnes of renewable hydrogen annually. It estimates that output could avoid around 250,000 tonnes of carbon-dioxide emissions each year compared with the higher-carbon fuels and industrial inputs the hydrogen is intended to replace.

The actual climate benefit will depend on the renewable-power supply, operating rate, transport arrangements and the fossil-based processes displaced by customers. The published figures are project targets, not a measured operating result, because the plant has not yet entered service.

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Why the project matters to Spain and Europe

Huelva combines an established energy-and-chemical industrial base with access to port infrastructure and transport links. Building production where hydrogen can be consumed or moved into other fuels is intended to reduce the need to ship a finished product over long distances and to support hard-to-abate industries in southern Spain.

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For Spain, the €304 million public contribution makes Onuba part of the country’s wider industrial and energy-transition strategy. For Europe, the project is a test of whether very large electrolyzers can be delivered on schedule, connected to sufficient renewable electricity and integrated with industrial offtakers. The proposed corridor toward Rotterdam also depends on infrastructure beyond the plant itself, including storage, pipelines, ports and compatible fuel facilities.

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What happens between construction and 2029

  1. Engineering and civil works: The EPC consortium and STRABAG must complete detailed design, site preparation and construction at the Huelva Energy Park.
  2. Electrolyzer installation: Thyssenkrupp Nucera’s alkaline systems and associated equipment from the other suppliers must be installed, connected and commissioned.
  3. Renewable-power and water systems: The project must secure the electricity, water treatment and grid or dedicated renewable connections needed for continuous operation.
  4. Industrial integration: Moeve and its partners must finalize the transport, storage and customer arrangements for fuels and industrial users.
  5. Testing and start-up: Commissioning will determine whether the facility can reach commercial operation in the 2029 target window.

What to watch

  • Whether the optional 105 MW expansion is approved and financed.
  • Progress against the 2029 operating target.
  • Confirmation of renewable-power and infrastructure connections.
  • Conversion of the valley-wide 2 GW ambition into separately financed projects.
  • Actual customer contracts in aviation, shipping, chemicals, steel and cement.

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