Celtic Freeport Hydrogen Plant Given Green Light in Wales: Milestone for Green Hydrogen Production

March 13, 2026 — Milford Haven, Pembrokeshire, Wales — MorGen Energy has reached the final investment decision for the West Wales Hydrogen project, known as the Celtic Freeport Hydrogen Plant Given Green Light in Wales[https://businessnewswales.com/celtic-freeport-hydrogen-plant-given-green-light], advancing green hydrogen production at the Milford Haven Tax Site.

The facility, supported by the UK Government’s Hydrogen Allocation Round 1 (HAR1), will use a 20MW electrolyser from ITM Power to produce around 2,000 tonnes of low-carbon hydrogen annually, compliant with the UK’s Low Carbon Hydrogen Standard.

Milford Haven
Milford Haven (Photo: Phillip Roberts / Shutterstock.com)

Project Details

Construction is set to begin in 2026, with operations commencing in early 2028. The hydrogen will support port decarbonization, industrial heating, manufacturing, and chemical feedstocks. The Celtic Freeport Hydrogen Plant Given Green Light in Wales[https://www.insidermedia.com/news/wales/celtic-freeport-hydrogen-plant-given-green-light-another-major-step-forward-for-the-hydrogen-economy-in-south-west-wales) has an estimated value of £50 million and is funded by Lloyds and Société Générale, with government revenue support for the first 15 years.

The site, formerly an oil refinery terminal operated by Puma Energy, leverages Milford Haven’s position as the UK’s largest energy port.

Economic and Environmental Impact

The project is expected to create around 60 construction jobs and 10 permanent positions, providing opportunities for local contractors. It aims to reduce emissions by more than 15,000 tonnes of CO2 per year and holds potential for expansion to position Milford Haven as a hydrogen hub for South Wales.

As detailed in recent coverage, the Celtic Freeport Hydrogen Plant Given Green Light in Wales[https://nation.cymru/news/freeport-hydrogen-plant-given-green-light/] will boost the regional hydrogen economy.

Official Reactions

Luciana Ciubotariu, CEO of Celtic Freeport, stated:

“MorGen Energy’s decision is another major step forward for the hydrogen economy in South West Wales. Projects like this within the Milford Haven Tax Site show how the Celtic Freeport is accelerating decarbonisation while creating high-value jobs.”

(Celtic Freeport)

Werner Lieberherr, CEO of MorGen Energy, described it as a major milestone for the UK hydrogen sector.

UK Energy Minister Michael Shanks noted:

“We are backing hydrogen because it is crucial in decarbonising industry.”

Wales Secretary Jo Stevens added:

“Wales is at the forefront of the green energy revolution.”

The Celtic Freeport Hydrogen Plant Given Green Light in Wales[https://herald.wales/west-wales/pembrokeshire/work-set-to-begin-on-50m-hydrogen-plant-in-milford-haven/] aligns with broader efforts, including prior planning consents secured in January 2026.