UK oil and gas group BP Plc (LON:BP), Abu Dhabi National Oil Company (ADNOC) and Masdar have teamed up to develop 2 GW of clean hydrogen hubs in the UK and the UAE as part of a wider project entailing “billions of dollars” of investment.
The partners have signed three strategic framework agreements, the first of which will see the companies deploy 1 GW of hydrogen capacity in the UAE and 1 GW in the UK as a start and then expand further, it was announced on Thursday.
“With abundant renewable energy sources and proximity to significant future demand centers for hydrogen and its carrier fuels, the partners’ commitments can help to ensure the UK and UAE are well positioned to become regional leaders in the new hydrogen economy and support both countries’ ambitious climate targets,” Masdar said.
BP noted that the agreement could also lead to the first international investment in its 1-GW site for blue hydrogen production — H2Teesside, which is planned to go online in 2027.
The contract will also see the three companies work together on decarbonised air corridors between the UK and the UAE – one of the busiest global air travel routes. Additionally, BP and Masdar have agreed to explore opportunities to develop, build and operate sustainable energy and mobility solutions for cities in their home countries, while BP and ADNOC will assess the potential to decarbonise oil and gas operations in the UAE through carbon capture use and storage (CCUS) hubs.
The partnership comes to support the UK government’s 5-GW hydrogen production target by 2030. By that same year, the UAE aims to lower its greenhouse gas emissions by 23.5%.
Source: renewablesnow
