bp has finalised agreements and design contracts for its H2Teesside hydrogen project.
This includes a statement of principles with the Department for Energy Security and Net Zero, enabling the project to move into the final negotiation phase.
The H2Teesside project aims to become one of the UK’s largest blue hydrogen production facilities, targeting 1.2GW of production.
This is over 10% of the UK’s hydrogen production goal for 2030.
Technip Energies will handle the front-end engineering design (FEED) for the blue hydrogen production facility and Costain will design the pipeline infrastructure to transport hydrogen from the production site to industrial users.
Both contracts are set to be completed by 2025.
It is part of the East Coast Cluster and plans to capture and store over two million tonnes of carbon dioxide annually.
Andy Lane, Vice President for hydrogen and CCUS at bp, UK, said: “These agreements mark further critical milestones for H2Teesside as the project continues to move towards EPC contracts and then construction.
“The project could play a critical role in decarbonising industry on Teesside, helping to transform the region into a leading hydrogen hub and kickstart the UK’s low carbon hydrogen economy.”
