Centrica And Equinor For UK Hydrogen Hub

Centrica and Equinor have signed a cooperation agreement to explore developing a low-carbon hydrogen production hub at Easington in East Yorkshire, further strengthening the region’s growing status as the United Kingdom’s foremost hydrogen super place. Under the cooperation plan, the Centrica-operated area at Easington could transition to a low-carbon hydrogen production hub over the coming decade. This would support the Humber’s decarbonization ambitions and help the UK meet its net-zero goals and hydrogen production targets. Such a transition would also safeguard many of the existing jobs within this historical gas terminal whilst creating new jobs for the future.

Up to one third of the UK’s total gas supply enters via Easington, much of it from Equinor’s Norwegian facilities. Easington is also situated close to some of the world’s largest offshore wind farm developments, offering huge potential for both blue and green hydrogen production. “Partnering with Centrica to potentially develop a new hydrogen hub at one of the UK’s most significant industrial sites could help to transform this region’s energy mix whilst preserving and creating jobs and skills,” said Grete Tveit, senior vice president for Low-Carbon Solutions at Equinor.

“The area is also earmarked as one of the landing points for the East Coast Cluster’s carbon capture pipeline, which would transport carbon dioxide [CO₂] for safe storage deep under the seabed. As such, it is a key location within the Zero Carbon Humber partnership planned to provide regional hydrogen and CO₂ pipelines between the area’s major energy producers and carbon-intensive industries. As the UK’s most carbon-intensive industrial region, such low-carbon projects and infrastructure are vital to tackling climate change whilst future-proofing key industries and creating new jobs.”

In response to the ongoing energy crisis, Centrica secured licenses and consents to use Rough to strengthen the UK’s security of natural gas supply in the near term. Centrica is advancing plans to convert its Rough offshore gas storage facility for hydrogen storage as part of its transition to a net-zero future.

The UK government recently doubled its 2030 hydrogen production ambition to 10 GW capacity, with at least half coming from electrolytic green hydrogen. Equinor has ambitions to deliver nearly one fifth of this national target by generating 1.8 GW of hydrogen production within the Humber region by 2028, beginning with its flagship Hydrogen to Humber (H2H) Saltend project. Centrica and Equinor expect that the conversion of the Easington Terminal could produce an additional 1 GW of low-carbon hydrogen production coupled with the around 200-MW off-taker demand.

“The Humber is in a unique position to lead the way on industrial decarbonization, with Equinor’s H2H projects at the forefront of this transition,” said Tveit. “Partnering with Centrica to potentially develop a new hydrogen hub at one of the UK’s most significant industrial sites could help to transform this region’s energy mix whilst preserving and creating jobs and skills.”