Equinor's H2H Saltend wins out in phase 2 sequencing
SUMMARY
The Humberside plant would deliver 600MW hydrogen, and has early supply deals in place already.
By Callum CyrusPOSTED IN:
Equinor has secured approval to build a 600 MW hydrogen production plant on the UK east coast, dubbed Hydrogen to Humber (H2H) Saltend, in the second phase of the national cluster sequencing programme, organised by the Department for Business, Energy and Industrial Strategy (BEIS).
The Norwegian oil and gas giant announced the news August 12. Equnior and its partners will now conduct due diligence under the cluster sequencing framework, which aims to enable shared infrastructure and hydrogen output in the UK to be delivered cost effectively.
H2H Saltend will be situated to the east of Hull, in the Humberside region of northeast England. Equinor's partners include Centrica, Ineos Acetyls and Triton Power, which have signed "varying agreements", including for "potential future hydrogen supply."
Humberside is the UK's most carbon intensive industrial cluster, Equinor said. H2H Saltend's location in the Humber's Saltend Chemicals Park, owned by energy and industrial assets manager Px Group, should allow it to link up with manufacturers in the existing complex.
Projects finalised under BEIS's second track sequencing are due to launch in 2026 or 2027. Potentially H2H Saltend will help remove almost 1mn metric tons/yr of CO2 emissions annually from East Yorkshire, a wider region that contains part of Humberside.
H2H Saltend is the cornerstone investment of a wider Humberside decarbonisation drive, dubbed Zero Carbon Humber. Backed by the UK Research Initiative, the main government funding body, Zero Carbon Humber encompasses 14 organisations committed to building a net zero industrial cluster for Humberside by 2040.
Equinor is planning a second 1.2 GW hydrogen plant in the area which, when combined with H2H Saltend, could help deliver 18% of Whitehall's targeted hydrogen production capacity. The UK currently aims to reach 10,000 MW of hydrogen production by the end of the decade.
A 1,200 MW hydrogen-powered power station by Equinor and BP is planned at Keadby, while a hydrogen storage facility could be built in the Humber town of Aldbrough, which already hosts an Equnior and SSE Thermal-operated gas reserve. Both projects were successful in the initial UK cluster sequencing process.
Grete Tveit, senior vice president for low carbon solutions at Equinor, said: "Fantastic news that the UK Government has selected three of our pioneering CCS and hydrogen projects.
"They will help decarbonise vital and carbon-intensive industries, preserve existing jobs and create new ones, as well as provide local supply chain opportunities.
"We’re excited to continue working closely with the UK Government, our partners, and local stakeholders to deliver these large-scale projects. This further strengthens the UK’s position as a world leader in the energy transition.”
In the first track of sequencing, BEIS also selected a Humber and Teeside region bid to build CO2 transport and storage, as part of the East Coast Cluster initiative.
