HYDROGEN
Air Products to fuel TotalEnergies' refinery decarbonisation / Two companies sign reciprocal supply pact
By Dede Williams
US industrial gases producer Air Products (Lehigh, Pennsylvania; www.airproducts.com) has clinched a major deal with France’s TotalEnergies (Paris; www.totalenergies.com) to help the petrochemicals and plastics major meet the decarbonisation targets it set last year for its refineries in Northern Europe.
US industrial gases producer Air Products (Lehigh, Pennsylvania; www.airproducts.com) has clinched a major deal with France’s TotalEnergies (Paris; www.totalenergies.com) to help the petrochemicals and plastics major meet the decarbonisation targets it set last year for its refineries in Northern Europe.
 Air Products chairman, president and CEO Seifi Ghasemi (l.) and TotalEnergies chairman and CEO Patrick Pouyanné sign the reciprocal supply agreement (Photo: Air Products) |
The 15-year pact, which calls for Air Products to deliver 70,000 t of the renewable product annually from 2030, represents a first step towards the French group’s goal of reducing net greenhouse gas emissions from its oil and gas operations (Scope 1+2) by 40% up to 2030, compared with 2015 levels.
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Towards meeting the target, Total has called for tenders totalling 500,000 t/y of hydrogen. The contracts with Air Products cover six fossil-fuel-based refineries and two biorefineries.
Gases maker invests in its own transition
Air Products, which claims to be the world’s leading hydrogen supplier, said it has budgeted USD 15 bn for its own energy transition, with the focus on low carbon hydrogen.
On one major project, the gases producer is cooperating with compatriot renewables specialist AES Corporation to build a USD 4 bn facility near Dallas, Texas, which stands to become the largest plant in the US producing green hydrogen from wind and solar energy when it goes onstream in 2027.
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Total Energies CEO Patrick Pouyanné said the agreement with Air Products is reciprocal, as it foresees Total in future becoming a supplier of green energy to its US partner. At the same time, it is aligned with the US firm’s decarbonisation roadmap and the French company’s comprehensive electricity strategy.
The contract with Total “validates our long-term strategy”, commented Air Products CEO and chairman Seifi Ghasemi. “Clearly, the demand is here, and it will grow significantly as we move forward”.
On one major project, the gases producer is cooperating with compatriot renewables specialist AES Corporation to build a USD 4 bn facility near Dallas, Texas, which stands to become the largest plant in the US producing green hydrogen from wind and solar energy when it goes onstream in 2027.
Related: US funding announced for first 50 hydrogen projects
Total Energies CEO Patrick Pouyanné said the agreement with Air Products is reciprocal, as it foresees Total in future becoming a supplier of green energy to its US partner. At the same time, it is aligned with the US firm’s decarbonisation roadmap and the French company’s comprehensive electricity strategy.
The contract with Total “validates our long-term strategy”, commented Air Products CEO and chairman Seifi Ghasemi. “Clearly, the demand is here, and it will grow significantly as we move forward”.
PPA opportunities seen in several countries
The French and American players have already signed a Memorandum of Understanding (MoU) for an initial Power Purchase Agreement (PPA) that would draw 150 MW of renewable energy from the Texas collaboration with AES.
Total and Air Products said they also intend to jointly investigate additional PPA opportunities in France, Poland, and the UK.
At its Rotterdam plant in the Netherlands, Air Products plans to generate “blue” hydrogen for ExxonMobil's refinery and for other clients. This project is expected to become Europe’s largest upon its scheduled completion in 2026.
Total and Air Products said they also intend to jointly investigate additional PPA opportunities in France, Poland, and the UK.
At its Rotterdam plant in the Netherlands, Air Products plans to generate “blue” hydrogen for ExxonMobil's refinery and for other clients. This project is expected to become Europe’s largest upon its scheduled completion in 2026.
19.06.2024 Plasteurope.com [255585-0]
Published on 19.06.2024