BP and Iberdrola have jointly announced their decision to proceed with the construction of a 25 MW green hydrogen plant in Castellon, Spain. The plant aims to facilitate the decarbonization process of BP's oil refinery located in Castellon and is expected to be operational by the second half of 2026. By leveraging a €15 million subsidy from the European Union, the project plans to mitigate approximately 23,000 tons of CO2 emissions per year. The financial backing for the initiative will be shared equally between BP and Iberdrola, with the exact project cost undisclosed. The electrolyzer at the plant will be fueled by renewable electricity sourced through a power purchase agreement with Iberdrola, providing 200 GWh per year from the company's solar and wind energy projects. The electrolyzer will consist of five modules, each with a 5 MW capacity, utilizing Plug Power's proton exchange membrane technology. This collaboration signifies a significant step towards sustainable energy practices in the region, promoting the utilization of green hydrogen for industrial processes.