Australian LNG firm Woodside has selected US engineer KBR to work on its planned H2OK hydrogen project in Oklahoma.
With this contract, Woodside has entered front-end engineering design (FEED) on a hydrogen project for the first time ever, it said in a statement on Tuesday.
The two firms signed the FEED contract for the H2OK hydrogen project in late December, according to Woodside.
Woodside revealed plans for this project in the beginning of December. 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.
H2OK includes a liquid hydrogen production facility proposed for the Westport Industrial Park in Ardmore.
The first phase of the facility involves construction of an initial 290-megawatt (MW) facility, producing up to 90 tonnes per day (tpd) of liquid hydrogen through electrolysis, targeting the heavy transport sector, Woodside said.
Also, the location offers the capacity for expansion up to 550 MW and 180 tpd, it said.
“The FEED phase is a significant project development milestone, triggering a series of activities that further mature the project scope, cost and schedule to the level required to take a final investment decision,” Woodside said.
The LNG firm is targeting a final investment decision on H2OK in the second half of 2022, and first liquid hydrogen production in 2025.
However, these are subject to all necessary approvals and commercial arrangements.
“Coupled with our recently announced target to invest $5 billion in new energy products and lower carbon services by 2030, this FEED entry supports Woodside’s strategy to thrive through the energy transition,” Woodside CEO Meg O’Neill, said.