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KKR And IGNIS announce partnership to develop green hydrogen, ammonia in Spain and internationally

Madrid: KKR, a prominent global investment firm, and IGNIS, a leading integrated global renewable group based in Spain, have announced an agreement to establish IGNIS P2X, a new Power-to-X (P2X) platform focused on developing primarily green hydrogen and ammonia projects for industrial use in challenging sectors to decarbonize. Under the joint venture, KKR will invest up to €400 million for future project development. Upon launch, IGNIS P2X will be equally owned by KKR and IGNIS, and will initially focus on a worldwide pipeline of P2X and renewable projects.

IGNIS, a global developer and operator of renewables, manages over 300 renewable projects across ten countries and oversees approximately 6.6 GW of power assets for third parties, making it Spain’s largest independent energy manager.

IGNIS P2X aims to develop production facilities for green hydrogen, ammonia, e-methanol, e-fuels, and SAF, catering to major corporations in sectors such as refining, steel, chemicals, and fertilizer, as well as conventional renewables like wind and solar associated with hydrogen and ammonia projects. These facilities will be strategically located near large off-takers, facilitating the decarbonization of challenging industrial sectors. The platform includes a pipeline of about 20 GW of P2X projects across Spain and selected countries, along with over 10 GW of advanced and early-stage renewables in Spain and globally, to be developed by a dedicated P2X team.

Ryan Miller, Managing Director in KKR’s European Infrastructure team, stated: “IGNIS is a leader in Spain’s renewable sector, with a unique P2X pipeline and strong industrial integration. We believe this platform will play a crucial role in decarbonizing heavy industries globally and in Spain, driven by favorable regulatory support. We are excited to collaborate with Antonio Sieira and the management team on advancing towards a greener global economy.”

Antonio Sieira, CEO of IGNIS, added: “This agreement marks a significant milestone for IGNIS. KKR’s partnership is a strong endorsement of our P2X development efforts. We are delighted to have such a globally recognized partner join us. Their financial expertise, high-performance team, and leadership in energy transition are invaluable assets for the strategic growth of P2X. In addition, IGNIS remains committed to integrating across the renewables value chain and developing projects for energy-intensive industries.”

With over 15 years of experience in infrastructure investments, KKR has extensive knowledge in renewable energy and climate-related investments, having invested more than $21 billion in this sector through its infrastructure platform alone. This investment represents the third for KKR’s global climate strategy, launched in 2023 under the leadership of KKR Partners Emmanuel Lagarrigue and Charlie Gailliot, aimed at scaling solutions to support the transition to a low-carbon economy. KKR previously invested in Zenobē, a UK-based leader in transport electrification and battery storage solutions in September 2023, and in Avantus, a top US developer of large-scale solar and solar-plus-storage projects in March 2024.

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