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Reuters: Norway’s Equinor scraps plans to export blue hydrogen to Germany

September 24, 2024
in Norway
Reuters: Norway’s Equinor scraps plans to export blue hydrogen to Germany
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“The hydrogen pipeline hasn’t proved to be viable. That also implies that hydrogen production plans are also put aside,” Equinor spokesperson Magnus Frantzen Eidsvold told Reuters. “We have decided to discontinue this early-phase project,” he added.

The pipeline was not RWE’s project, but required support from both Norway and Germany, the German company said in emailed comments. Last year, Equinor CEO Anders Opedal said the cost of the total supply chain could run into the “tens of billion euros”, while the pipeline alone would cost some €3 billion (US$3.35 billion).

Eidsvold said Equinor also could not continue maturing the projects without firm long-term commitments from European buyers to import hydrogen. “We are not able to make this kind of investments when we don’t have long-term agreements and the markets in place,” Eidsvold said.

Plans to develop hydrogen-ready gas power plants in Germany with RWE will go ahead but hydrogen for them will be procured on the continent, not exported from Norway, Eidsvold said.

The German government has been in intensive talks on the issue with Norway, a German economy ministry official told Reuters on Saturday. The official said the new plan now includes converting Norwegian gas into blue hydrogen in the Netherlands and shipping the captured carbon dioxide back to Norway for storage.

RWE said hydrogen-ready gas power plants could start production at earliest from 2030 provided the German government approves a support regime for such plants.

Equinor will continue other early-phase hydrogen projects, such as in Britain and the Netherlands, as well, Eidsvold added.

Image: The logo of Equinor is set up at the entrance of a building at Western Europe’s largest liquefied natural gas plant Hammerfest LNG in Hammerfest, Norway, 14 March 2024

Read the article online at: https://www.worldpipelines.com/project-news/24092024/reuters-norways-equinor-scraps-plans-to-export-blue-hydrogen-to-germany/

Source link : http://www.bing.com/news/apiclick.aspx?ref=FexRss&aid=&tid=66f29244b0614acca028f285475c1f50&url=https%3A%2F%2Fwww.worldpipelines.com%2Fproject-news%2F24092024%2Freuters-norways-equinor-scraps-plans-to-export-blue-hydrogen-to-germany%2F&c=16214691521365290463&mkt=en-us

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Publish date : 2024-09-24 01:31:00

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