BP to develop hydrogen hubs with Adnoc and Masdar

Energy major and LNG player BP is teaming up with UAE’s Abu Dhabi National Oil Co (Adnoc) and Masdar to develop hydrogen hubs and decarbonized air corridors between the UK and UAE.

BP said in a statement on Thursday the partners have signed three agreements with the potential to lead to “billions of dollars of investment into clean and low carbon energy, creating potentially thousands of energy jobs.”

2GW of hydrogen

The first agreement would see the companies collaborate to initially develop 2GW of hydrogen across hubs in the UK and UAE, with the intention to expand as the project progresses.

“Access to clean hydrogen – a critical fuel in the decarbonization of hard-to-abate industries – can reduce emissions, ‎enable new, low carbon products, and unlock future fuels,” BP said.

This deal could enable a significant contribution towards the UK government’s target to develop 5GW of hydrogen production by 2030, according to BP.

It could also lead to the first international investment in the hydrogen facility in Teesside, H2Teesside, which aims to produce 1GW of blue hydrogen starting in 2027.

H2Teesside would capture and store up to two million tonnes of carbon dioxide (CO2) a year through the Northern Endurance Partnership (NEP).

Air corridors and mobility solutions

As part of the first agreement, the partners also intend to “pioneer decarbonized air corridors ” between the UK and UAE – one of the busiest global air travel routes – further strengthening the commercial and cultural ties between the two countries.

BP and Masdar have also agreed to explore opportunities to develop, build and operate sustainable energy and mobility solutions for cities – in the UK, UAE and beyond – on the road to net zero, BP said.

CCUS hubs

Finally, BP and Adnoc plan to deepen their collaboration to decarbonize oil and gas operations in Abu Dhabi, including the potential development of carbon capture use and Storage (CCUS) hubs.

The two companies would also harness advanced methane emission detection and reduction technologies and create smart decision centers in the UAE, where digital and AI technology would then be used to accelerate operational efficiency, BP said.

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