Iverson eFuels Terminates Sauda Ammonia Plant, Eyes Data Center Future
March 6, 2026
A major green ammonia project in Norway has been canceled, with its developer now targeting the site for data center development. This shift underscores the intense competition for secure, high-capacity power connections in the Nordics, a region prized by both heavy industry and the rapidly expanding data center sector for its abundant renewable energy resources.
Iverson eFuels announced this week that it has decided to terminate its plans for a green ammonia production facility in Sauda, Norway. The company cited the withdrawal of its allocated grid capacity by Norwegian grid operator Statnett and uncertainty over future power access as the primary reasons. "The company regrets the decision, thanks its partners, and will now consider the possibility of establishing a data center to create new activity in Sauda," Iverson stated.
The project, owned by hydrogen specialist Hy2Gen and investment firm Copenhagen Infrastructure Partners, had been in development since 2021. Initially slated for a 2027 launch, the timeline was first pushed to 2030 and then to 2031. The planned 20-hectare facility was designed to produce 200,000 tonnes of green ammonia annually, powered by a 240MW electrolysis unit for hydrogen production on municipally owned land.
Despite receiving approval from the Sauda municipal council last year, the venture faced critical delays. Iverson revealed that Statnett withdrew the 270MW of previously allocated grid capacity before Christmas because the project was more than two years behind schedule. The grid operator indicated that new capacity would only become available upon the completion of a grid upgrade, expected between 2033 and 2035. "For Iverson, such an unresolved situation... is not compatible with further development of the project," the company explained, leading to the formal termination.
In place of the industrial plant, Iverson will explore developing a data center on the site, aiming to utilize the work and resources already invested. The location in Sauda municipality, Rogaland, is approximately 148 kilometers south of Stavanger.
The pivot from green fuel production to digital infrastructure highlights a broader trend in energy-rich regions. Data center developers, driven by demands for AI and cloud computing, are increasingly vying for the same finite grid connections as green industrial projects. This case illustrates how project delays can result in the loss of precious grid queue positions, potentially redirecting investments and shaping the industrial landscape of emerging tech hubs.
Source: datacenterdynamics
