© HJBC / Shutterstock.com
© HJBC / Shutterstock.com
Air Products has signed a 15-year green hydrogen supply agreement with TotalEnergies to see the French oil and gas major partially decarbonise its European refineries.
Set to supply 70,000 tonnes of green hydrogen per year from 2030, it comes as the first contract under TotalEnergies’ tender for the supply of 500,000 tonnes of the clean energy carrier, where Air Liquide was named as the long-term supplier for its refining and petrochemical platform in Normandy, France.
Read more:TotalEnergies seeks 500,000 tonnes of green hydrogen per year for European refineries
With the aid of Air Products, TotalEnergies will partially replace grey hydrogen used in its northern European facilities. The company’s portfolio includes six refineries in Belgium, Germany, the Netherlands, and France, along with two biorefineries in France – all currently using grey hydrogen.
The companies also signed a Memorandum of Understanding (MOU) for the supply of renewable power, including a first power purchase agreement (PPA) for 150MW produced at a solar project in Texas, the US. Further PPA opportunities for Air Products’ European projects will also be explored.
“Once again, we demonstrate our capacity to pioneer the energy transition and contribute to the emergence of a green hydrogen industry by offering long-term contracts with our six refineries and two biorefineries in Europe,” explained Patrick Pouyanné, Chairman and CEO of TotalEnergies.
He added, “We are also happy to extend our partnership with Air Products by becoming ourselves a supplier of green power to Air Products and contributing to Air Products’ own decarbonisation roadmap.”
Air Products’ Chairman, President and CEO, Seifi Ghasemi said, “We always believed that if we made clean hydrogen available at commercial scale, the demand would be there. This contract validates our long-term strategy.
“Clearly the demand is here, and it will grow significantly as we move forward, playing an essential role in decarbonising heavy industry and other sectors.”
Via the PPA, TotalEnergies will supply renewable power to Air Products’ Texan hydrogen plant, which Ghasemi recently said wouldn’t receive a final investment decision (FID) until US subsidy rules are finalised.
Read more:Air Products wont FID $4bn Texan green hydrogen plant until 45V rules are finalised, says CEO
Air Products is committing more than $15bn to large-scale energy transition projects, boasting several low-carbon projects around the world.
Last year, the company announced it would retrofit its grey hydrogen production plant in the Netherlands with carbon capture and CO2 treatment to produce blue hydrogen, with a capacity of 300 tonnes per day. This is expected to make it Europe’s “largest” blue hydrogen plant.
Read more:From grey to blue: Air Products plans Europe’s ‘largest’ blue hydrogen plant
Stay ahead with the latest Hydrogen Intelligence!
With a focus on global coverage, dynamic analytics, and long term forecasting our centralised hub offers unparalleled insights and strategic advantages for investors, policymakers, and industry professionals.
H2 Intelligence provides global analytics for both conventional and emerging hydrogen sectors. Hydrogen production, transportation demand, and global hydrogen policy are featured in our brand new dashboard.
Enquire here and a member of the BI team will be in touch.