Woodside awards contract for US hydrogen project

Australian LNG firm Woodside has selected Norway’s Nel Hydrogen Electrolyser, a unit of Nel, to supply alkaline electrolyzer equipment for its planned H2OK hydrogen project in Ardmore, Oklahoma.

The alkaline electrolyzer equipment would support phase 1 of the H2OK project, designed to
produce 90 tonnes per day (tpd), Woodside said in a statement on Monday.

Nel would manufacture the electrolyzer stacks at its factory in Heroya, Norway, the world’s only fully automated electrolyzer facility, according to Woodside.

When completed, the electrolyzer plant will have a nameplate capacity of about 64,000 kg per day of hydrogen.

Woodside did not reveal the price tag of the contract but Nel said in separate statement that the deal is worth 600 million krone ($56.4 million).

The Australian LNG player revealed plans for this hydrogen project in the beginning of December 2021 and after that entered front-end engineering design (FEED) with US engineer KBR.

The project adds to Woodside’s planned hydrogen and ammonia production projects in Perth (H2Perth) and northern Tasmania (H2TAS) to supply both Australian and international markets.

According to Woodside, FEED for H2OK should be completed this year, while the firm is aiming to take a final investment decision in 2023.

Woodside executive VP New Energy Shaun Gregory said the contract award was an
“important step forward” for H2OK, which would be Woodside’s first hydrogen project globally.

“The signing of the alkaline electrolyzer contract is progress toward Woodside realizing its ambition to build a New Energy business in the United States. With the passage of the Inflation Reduction Act, the drive to accelerate the energy transition in the US is underway, and Woodside aims to be part of that,” Gregory said.

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