BarMar project: joint development agreement signed

The three developing partners of the BarMar project, which will connect Spain and France by a maritime hydrogen pipeline (Barcelona - Marseille): Enagás (transmission system operator from Spain), GRTgaz and Teréga (transmission system operators from France), in coordination with the associated partner OGE (transmission system operator from Germany), have signed today in Madrid a Joint Development Agreement (JDA) defining the conditions under which the parties agree to collaborate on the participation of the BarMar project in its Development phase.

The JDA provides specifically the conditions for the Parties to jointly develop the necessary feasibility studies concerning BarMar and sets out the preliminary minimal conditions for the Final Investment Decision, as well as the main principles for the establishment of the Special Project Vehicle (SPV) and the definition of its governance. According to the terms of the agreement, and pending the closing of the FID, Enagás will contribute 50% of the shareholding, GRTgaz 33,3% and Teréga 16,7%, representing identical percentages in the Spanish and French parts of the project BarMar: 50% each.

Regarding the interconnection of renewable hydrogen between Portugal and Spain (Celorico da Beira – Zamora), CelZa, Enagás and REN have also signed a side letter to the Memorandum of Understanding that both parties have already in force, to jointly develop and finance the corresponding studies.

The H2med project is a transnational effort to connect the hydrogen networks of the Iberian Peninsula to those of France, Germany and the whole of North-West Europe. It also aims to bring benefits in terms of hydrogen supply and demand by connecting the various Iberian and French industrial basins.

Its goal is to enable Europe to be supplied with affordable, renewable hydrogen by 2030. The project was launched in October 2022 by the President of the Government of Spain, the President of France, and the Prime Minister of Portugal. These leaders reaffirmed their commitment at the Euromed Summit on December 9th, 2022, in Alicante, with support of the President of the European Commission. In January 2023, Germany decided to lend its support and join Spain, France and Portugal for this hydrogen corridor, seeing it is an interesting vector for its own market and for supplying other potential markets. H2med is led by the Transmission System Operators (TSOs) from Enagás, GRTgaz, REN, Teréga, and OGE, which joined the project in October 2023.

On November 28th, 2023, the European Commission selected H2med for inclusion into the list of Projects of Common Interest (PCI). This list was officially published in the Official Journal of the European Union on April 8th, 2024, in recognition of CelZa and BarMar significant contribution at EU level to sustainability, market integration, security of supply and competitiveness.