Eyal Ofer-led Zodiac Maritime is investing in Belgium-based startup Tree Energy Solutions (TES), a company that plans to build the world’s largest portfolio of hydrogen projects by 2030.
TES is developing a green energy hub in the German port of Wilhelmshaven, comprising a green hydrogen import terminal, storage facilities and an oxy-fuel combustion power plant, with the goal of supplying 250TWh of green gas annually. A strategy is also in place to develop similar hubs in European ports in Belgium, France and the Netherlands.
The company has concluded its second fundraising round at €65m ($66.6m), which also attracted a global investor base comprising leading financial institutions and international energy corporations including E.ON, HSBC and UniCredit.
Marco Alverà, CEO of TES, said: “This newly raised capital will be used to bring us to a final investment decision by the end of 2023. Our sustainable business model has attracted the interest of world-class industrial and financial players, demonstrating the growing appetite for renewable natural gas. TES is now further progressing to become an agent of change, driving this revolution.”
For TES, the plans involve combining CO2 and hydrogen to create synthetic methane, which can be shipped to facilities in Europe, offering renewable energy with an estimated cost of $25 per MWh. The company also has plans for production and export terminals in the Middle East, Canada and the US.
Ofer Global Group is involved in various areas of energy production globally via its subsidiary OG Energy, ranging from renewable energy to the production of green hydrogen. Through its Omni Offshore Terminals, it also provides floating, production, storage and offloading (FPSO) solutions to the offshore oil and gas industry.
“Zodiac Maritime and OG Energy are excited to be founding investors in TES Energy. We look forward to scaling hydrogen as a green and sustainable energy source for the future,” remarked Daniel Ofer, chief executive of Zodiac Maritime.
MW & L Capital Partners served as TES’s sole financial advisor and placement agent. Burggraaf & Hoekstra acted as legal advisors.