Sunday, April 28, 2024

Uniper and Phillips 66 sign agreement for green hydrogen production at Killingholme

Uniper and Phillips 66 Limited have agreed to work together on a project to produce electrolytic hydrogen at its Killingholme site by 2029.

The Humber H2ub® (Green) project includes plans for an initial electrolytic hydrogen production capacity of up to 120 MW, with the potential for future expansion. The green hydrogen production facility would be developed as part of Uniper’s wider aspirations for the Killingholme Energy Transformation Hub.

Uniper and Phillips 66 Limited have signed a collaboration agreement to work together towards a supply of green hydrogen from the Humber H2ub® (Green) project to Phillips 66 Limited’s Humber Refinery from 2029. The hydrogen would be used to replace refinery fuel gas in industrial-scale fired heaters, as part of Phillips 66 Limited’s plans to reduce the Humber Refinery’s scope 1 operational emissions.

Hydrogen production is a key pillar of Uniper’s strategy, and our aim is to build more than 1 GW of electrolyser capacity across the business by 2030.

The Humber H2ub® (Green) project development and the supply agreement with Phillips 66 Limited are subject to financial investment approval from Uniper’s and Phillips 66 Limited’s management, and several pre-conditions that would have to be satisfied; including securing the necessary planning consents and environmental permit, agreement on terms for the hydrogen offtake and a Low Carbon Hydrogen Agreement with the UK Government.

Guy Phillips, Team Lead, Business Development Hydrogen, UK for Uniper, said: “The Humber H2ub® (Green) project is a key part of Uniper’s hydrogen ambitions in the UK and we’re pleased to be collaborating on it with Phillips 66 Limited. The Humber region is recognised as the UK’s most carbon intensive industrial region and hydrogen will be vital in decarbonising and securing the region’s economy. The Humber H2ub® (Green) project could make an important contribution to kick starting the hydrogen economy in the Humber region.

“Our Killingholme site is ideally placed with excellent utilities infrastructure. It has the potential to support the UK’s hydrogen and decarbonisation ambitions, creating new high-skilled employment opportunities and ensuring the site continues to make a valuable contribution to the regional economy.”

Duncan Hammond, Humber’s Decarbonisation Projects Manager at Phillips 66 Limited, shared: “We are excited to collaborate with Uniper on their low carbon hydrogen project. Hydrogen refuelling will be a big step in lowering the refinery’s emissions as we evolve with the energy transition. Energy security is vital for the UK.Utilising technologies such as low carbon hydrogen produced by electrolysis and also carbon capture will enable us to continue to produce essential products for the transport sector and supply chain, some of which are used in the production of electric vehicle batteries, wind turbine blades, pharmaceuticals and much more.

We believe hydrogen will attract new industry, protect jobs, and develop the local economy.”

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