Hydrogen turnaround? Bad news from Africa: First Hydrogen, thyssenkrupp nucera, BASF

Domestic hydrogen is essential – Will SMRs be necessary?

According to the German Hydrogen Strategy, Germany will need 130 TWh of green hydrogen by 2030. According to Der Spiegel, 50 to 70% of this will have to be imported. However, the price shock from Africa could now ensure that the share of domestic hydrogen increases. To this end, a rapid ramp-up of electrolysis capacities is planned. Public funding programs such as IPCEI and the European Hydrogen Bank support projects that can already produce hydrogen for less than EUR 3 per kg. A national hydrogen core network around 9,000 km long is also to be built by 2032 to connect industrial centers. Alternative energy sources also play a role: Nuclear energy could help produce hydrogen in the form of small modular reactors (SMRs). Methane pyrolysis, in which natural gas is broken down into hydrogen and carbon, is also an option. According to the EU taxonomy, nuclear energy has been classified as "green" since 2022.

thyssenkrupp nucera and BASF remain committed to hydrogen

The Dortmund-based company thyssenkrupp nucera is fully committed to electrolyzers for hydrogen production. The Company currently has orders totalling several hundred megawatts in the pipeline. No one at thyssenkrupp nucera is concerned that the expansion of the hydrogen economy has recently stalled: "*Project delays in the global market for hydrogen technology are *only temporary," CEO Werner Ponikwar told the Reuters news agency. Ponikwar expects a significant upturn in business** and believes it is possible to double the workforce in three years. If rising costs in Africa lead to more domestic hydrogen projects, this would mean additional demand for thyssenkrupp nucera.

Chemical giant BASF is also building on its own hydrogen. A milestone was reached in March this year with the start of Germany's largest PEM electrolyzer to date at BASF's main plant in Ludwigshafen. The plant has a 54 MW capacity and can produce up to 1 ton of green hydrogen per hour. The hydrogen produced in this way is fed into various production facilities on site and used in part for regional mobility projects.

BASF is thus gaining operational experience with large-scale electrolysis and can save up to 72,000 tons of CO2 every year. While thyssenkrupp nucera offers solutions for industrial companies and global market leaders like BASF are taking the hydrogen issue into their own hands, German SMEs may have to rely on alternative solutions. This is where the innovative solutions provider First Hydrogen could come into play.

First Hydrogen: Hydrogen-as-a-Service without taboos = Solution for SMEs?

First Hydrogen is based in Vancouver and London, and has also been active in Germany as an industrial location for some time. The Company developed light commercial vehicles with fuel cells and conducted successful practical tests in the UK in 2024 in collaboration with Amazon.**

In addition to vehicles, First Hydrogen is pushing ahead with the development of the supply infrastructure. The Company is planning a 35 MW electrolysis plant for green hydrogen and an assembly plant for its vehicles in the Canadian district of Quebec. In this way, First Hydrogen intends to supply not only vehicles but also the necessary fuel itself in the future, thereby securing a large part of the value chain.

First Hydrogen is also pursuing this Hydrogen-as-a-Service approach in its business in Germany and is committed to offering tailor-made solutions to customers from small and medium-sized businesses and industry. One possible option is small nuclear reactors, which the Company is researching through its subsidiary First Nuclear and sees as an option for producing CO2-free hydrogen. At the end of July, First Hydrogen also announced a research collaboration with the University of Alberta.

Africa shock is good news for hydrogen solution providers

First Hydrogen's shares performed well in 2025, reflecting the excitement surrounding hydrogen. The young company benefits primarily from its modular approach and its many potential points of contact with customers. Now that it has become known that hydrogen from Africa could be more expensive than previously thought, more medium-sized companies are likely to want to implement their own decentralized hydrogen solutions. First Hydrogen could benefit here alongside industry giants such as thyssenkrupp nucera and BASF. After a rapid rise in early summer, First Hydrogen's share price has stabilized. Interested investors should keep a close eye on developments in the hydrogen market – First Hydrogen is a potential beneficiary that is currently valued at only around EUR 30 million. If successful, this could offer an attractive leverage.