bp and Linde plan to develop a CCS (Carbon Capture and Storage) project in Texas that will enable low-carbon hydrogen production at Linde’s existing facilities.
The development will also support the storage of carbon dioxide (CO2) from other industrial facilities and pave the way for large-scale decarbonization of the industrial corridor along the Texas Gulf Coast, the two companies said.
Upon completion of the project, the CO2 from Linde’s hydrogen production facilities in the greater Houston area – and potentially its other facilities in Texas – will be captured and stored to produce low-carbon hydrogen for the region. The low-carbon hydrogen is sold to customers along Linde’s hydrogen pipeline network under long-term contracts to enable the production of low-carbon chemicals and fuels.
As part of the project, bp intends to evaluate, develop and approve the geological storage sites for the permanent capture of CO2. bp’s trading and shipping business aims to bring customized low-carbon solutions to the project, including renewable energy and certified natural gas, as well as commodity trading and price risk management.
Linde will use its proprietary technology and operational expertise to capture and compress the CO2 from its hydrogen production facilities for the project. Along with its extensive infrastructure of hydrogen production facilities and storage cavern, connected via its pipeline network on the Texas Gulf Coast, this project will enable Linde to deliver cost-effective, reliable low-carbon hydrogen and, together with bp, provide carbon capture and storage solutions.
“Texas energy expertise and strong supply chains have been generations in the making,” said Dave Lawler, bp America chairman and president. “This new low-carbon energy project will help us leverage these strengths for the next chapter of the energy transition. Specifically, it can help decarbonize hard-to-reduce industries to achieve the greatest potential impact on emissions while protecting jobs. bp is proud to support this project as we continue to execute on our own strategy and net zero ambition.”
The project is an important step in the development of bp’s low-carbon business, the company said. bp is evaluating large-scale CCS and hydrogen projects for industrial clusters in the US and is already deployed in Teesside, the industrial heart of the UK.
“Linde is committed to reducing absolute carbon emissions by 35% by 2035 and being carbon neutral by 2050,” added Dan Yankowski, President of Linde Gases North America. “Capturing the CO2 from our Houston-area hydrogen production facilities will be a significant step toward achieving these goals.
“We are pleased to bring Linde’s leading technology portfolio and infrastructure to support this project and make low-carbon hydrogen available to our Gulf Coast customers. In general, Linde is well positioned to enable similar projects, whether on the Gulf Coast, where we operate two hydrogen pipelines and a hydrogen storage cavern, or elsewhere in the US.”
The overall development, which is expected to be operational as early as 2026, will also allow for the capture and storage of CO2 from other large industrial plants in the region and could ultimately store up to 15 million tonnes per year at multiple geological storage sites on land – the equivalent annually Taking 3 million cars off the road.