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Released October 25, 2022 | GALWAY, IRELAND
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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Oil and gas company BP plc (NYSE:BP) (London, England) has submitted a bid to the U.K. government to build the country's largest green hydrogen facility, targeting the transportation sector.
Dubbed HyGreen, the project will be located at the Teesside industrial region in northern England, and BP is hoping to secure permission and funding support from the government's Hydrogen Business Model (HBM) and Net Zero Hydrogen Fund (NZHF), which are tasked with kickstarting the U.K.'s effort to create a hydrogen economy. The proposed project will start with 80 megawatts (MW) of installed hydrogen production, to be expanded to 500 MW after that--equivalent to 5% of the U.K.'s stated hydrogen target of 10 gigawatts (GW) by 2030. Industrial Info first reported on HyGreen Teesside at the end of last year. For additional information, see December 8, 2021, article - BP Plans Large-Scale Hydrogen Plant in Teesside, U.K.. The company claimed HyGreen will help turn Teesside into the U.K.'s first major hydrogen transport hub by providing enough low-carbon hydrogen to power the equivalent of more than 10,000 heavy goods vehicles. It will also be used to power hard-to-abate sectors and heavy industry and heat homes.
Louise Kingham, BP's U.K. head of country and senior vice president of Europe, said: "We aim to produce green hydrogen that can help decarbonise industries, heavy transport and even provide heat in homes. And we think HyGreen Teesside has the potential to transform energy use, the economy and skills in the local region. The strong support we're already seeing from customers reflects the need for us to deliver this for both Teesside and the wider U.K.. We're not stopping there -- our plans for mobility will also help drive the U.K.'s position in pioneering hydrogen and battery electric technology in transportation. Together, these can help deliver economic growth for the region and the home-grown hydrogen that the U.K. needs."
To back its bid, BP has signed deals for its hydrogen with four large companies. Northern Gas Networks (NGN) will use hydrogen for its Hydrogen Village in Redcar from 2025. This will see a switch from gas to clean hydrogen for around 2,000 homes and businesses from 2025. Ensus, operator of one of Europe's leading renewable ethanol production plants at Wilton on Teesside, will swap gas for hydrogen. Tees Valley Lithium, which hopes to build one of Europe's first lithium hydroxide processing facilities, will use hydrogen in its attempts to supply the world's lowest carbon lithium hydroxide, for use in electric vehicle (EV) batteries. Energy company Sembcorp Energy U.K. is planning to use green hydrogen to help lower the carbon footprint of some of its power assets at the Wilton International site on Teesside.
In addition to HyGreen Teesside, Industrial Info is also tracking BP's H2Teesside project, one of the U.K.'s largest blue hydrogen production facilities, which was recently shortlisted for U.K. government funding support. The two proposed projects on Teesside could together deliver up to 1.5 GW of the government's 10 GW of hydrogen production by 2030.
Tees Valley Mayor Ben Houchen said: "This is a hugely welcome next step in getting the transformational HyGreen project off the ground and making it a reality. The scheme will play a vital part in a whole host of low-carbon initiatives across Teesside, Darlington and Hartlepool, not least the continued development of our Hydrogen Transport Hub."
John Walker, chief executive of Tees Valley Lithium, added: "Tees Valley Lithium is delighted to be partnering with BP in this initiative, which will seek to further decarbonise TVL's lithium hydroxide production at the Wilton International Chemicals Park, in Teesside. TVL will source high-value intermediate lithium products with a low-embedded carbon footprint from around the world and will provide customers in the U.K. and Europe with an independent and sustainable supply of low-carbon battery-grade lithium hydroxide and lithium carbonate."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Dubbed HyGreen, the project will be located at the Teesside industrial region in northern England, and BP is hoping to secure permission and funding support from the government's Hydrogen Business Model (HBM) and Net Zero Hydrogen Fund (NZHF), which are tasked with kickstarting the U.K.'s effort to create a hydrogen economy. The proposed project will start with 80 megawatts (MW) of installed hydrogen production, to be expanded to 500 MW after that--equivalent to 5% of the U.K.'s stated hydrogen target of 10 gigawatts (GW) by 2030. Industrial Info first reported on HyGreen Teesside at the end of last year. For additional information, see December 8, 2021, article - BP Plans Large-Scale Hydrogen Plant in Teesside, U.K.. The company claimed HyGreen will help turn Teesside into the U.K.'s first major hydrogen transport hub by providing enough low-carbon hydrogen to power the equivalent of more than 10,000 heavy goods vehicles. It will also be used to power hard-to-abate sectors and heavy industry and heat homes.
Louise Kingham, BP's U.K. head of country and senior vice president of Europe, said: "We aim to produce green hydrogen that can help decarbonise industries, heavy transport and even provide heat in homes. And we think HyGreen Teesside has the potential to transform energy use, the economy and skills in the local region. The strong support we're already seeing from customers reflects the need for us to deliver this for both Teesside and the wider U.K.. We're not stopping there -- our plans for mobility will also help drive the U.K.'s position in pioneering hydrogen and battery electric technology in transportation. Together, these can help deliver economic growth for the region and the home-grown hydrogen that the U.K. needs."
To back its bid, BP has signed deals for its hydrogen with four large companies. Northern Gas Networks (NGN) will use hydrogen for its Hydrogen Village in Redcar from 2025. This will see a switch from gas to clean hydrogen for around 2,000 homes and businesses from 2025. Ensus, operator of one of Europe's leading renewable ethanol production plants at Wilton on Teesside, will swap gas for hydrogen. Tees Valley Lithium, which hopes to build one of Europe's first lithium hydroxide processing facilities, will use hydrogen in its attempts to supply the world's lowest carbon lithium hydroxide, for use in electric vehicle (EV) batteries. Energy company Sembcorp Energy U.K. is planning to use green hydrogen to help lower the carbon footprint of some of its power assets at the Wilton International site on Teesside.
In addition to HyGreen Teesside, Industrial Info is also tracking BP's H2Teesside project, one of the U.K.'s largest blue hydrogen production facilities, which was recently shortlisted for U.K. government funding support. The two proposed projects on Teesside could together deliver up to 1.5 GW of the government's 10 GW of hydrogen production by 2030.
Tees Valley Mayor Ben Houchen said: "This is a hugely welcome next step in getting the transformational HyGreen project off the ground and making it a reality. The scheme will play a vital part in a whole host of low-carbon initiatives across Teesside, Darlington and Hartlepool, not least the continued development of our Hydrogen Transport Hub."
John Walker, chief executive of Tees Valley Lithium, added: "Tees Valley Lithium is delighted to be partnering with BP in this initiative, which will seek to further decarbonise TVL's lithium hydroxide production at the Wilton International Chemicals Park, in Teesside. TVL will source high-value intermediate lithium products with a low-embedded carbon footprint from around the world and will provide customers in the U.K. and Europe with an independent and sustainable supply of low-carbon battery-grade lithium hydroxide and lithium carbonate."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
