In February 2021, energy groups ENGIE and Equinor announced an MoU to develop low carbon hydrogen projects together. Now the two companies move forward and announce the H2BE project which aims to develop production of low-carbon hydrogen from natural gas in Belgium.
The Belgian federal government released its Hydrogen Strategy on 29 October 2021 and the H2BE project will help Belgium deliver on the strategy. The project aims at producing hydrogen from natural gas using autothermal reforming (ATR) technology combined with carbon capture and storage (CCS).
The ATR technology allows for decarbonisation rates above 95% and for producing hydrogen on a large-scale at competitive cost levels. The captured CO2 is planned to be transported in liquid form and to be permanently and safely stored at a site in the subsurface of the Norwegian North Sea.
H2BE fits well within Belgian and Flemish hydrogen strategies. Focused on renewable hydrogen, these also emphasise the key role of low-carbon hydrogen to reach decarbonisation targets and to swiftly ramp-up a clean hydrogen market and infrastructure in the coming years.
ENGIE and Equinor will now launch a feasibility study to assess the technical and economic suitability of a site in the Ghent area. Commercial talks with potential hydrogen offtakers, predominantly large, hard-to-abate industries, continue simultaneously.
Moreover, discussions are ongoing with North Sea Port on integration with port infrastructure. The project fits within ‘Connect 2025’ – the recently published strategic plan of North Sea Port, by accelerating the transition towards carbon neutrality and the development of the required hydrogen and CO2 infrastructure.
Having necessary hydrogen and CO2 infrastructure in place are crucial elements for the success of the project. Therefore, ENGIE and Equinor joined forces with Fluxys, the independent gas transmission system operator in Belgium.
Making available substantial volumes to the market, the project would be a key building block for the open access hydrogen and CO2 infrastructure that Fluxys Belgium is planning to develop to connect supply and demand across industrial clusters in Belgium and neighbouring countries. The collaboration of the H2BE project with Fluxys will hence create synergies with other hydrogen and CO2 capturing projects, lowering the overall costs.
All partners aim to start operations well before 2030 in order to contribute to Belgium’s 2030 interim decarbonisation targets.