Air Products $4.5 billion investment in H2
Air Products announced a $4.5 Billion blue hydrogen complex to be built in Louisiana. The project represents Air Products largest ever investment in the U.S.
The complex will produce 750 MMSCFD and be tied into the 700 mile long hydrogen pipeline. That pipeline, the longest in the world ties in 25 production facilities feeding dozens of customers 1.6 Billion cubic feet per day of hydrogen. It is expected to be operational in 2026.
Carbon Capture built in
95% CO2 capture is built into the design. Captured CO2 will feed pipelines and into multiple Louisiana sequestration sites. More than 5 million metric tons per year will be permanently sequestered.
Is this the new normal?
This Hydrogen complex is similar to the recently announced Dow 1.8 MT per year ethylene cracker. It seems as if the new normal for mega petrochemical investments is to include carbon capture sequestration. Many petrochemical companies such as Dow have net zero by 2050 goals. To get there CCS will be required.
Tie in of existing petrochemical
ExxonMobil and Ineos recently announced signing of MOU and expression of interest to participate in Scotland’s Acorn CCS project. They will integrate their existing sites in Scotland to leverage the Acorn sequestration infrastructure. Shell is the technical developer for that project.
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