Thursday 14 December 2023

SSE Thermal takes 50% stake in H2NorthEast hydrogen project

SSE Thermal has acquired a 50% stake in the H2NorthEast hydrogen project in Teesside.

The company is now the joint owner, along with Kellas Midstream, of the blue hydrogen project with carbon capture and storage (CCS).

The project, in the first phase, could produce up to 355MW of blue hydrogen capacity from 2028, with plans to scale up to more than 1GW.

Offtakers would include heavy industry and power generation, either through blending into existing assets or in new hydrogen-fired plants.

Catherine Raw, Managing Director of SSE Thermal and Group Executive Committee lead for hydrogen said: “Blue hydrogen has a strategic role to play alongside green hydrogen and the hydrogen produced by H2NorthEast will not only support the decarbonisation of industry, it can be a vital piece in the net zero jigsaw for the power sector.

“As a company focused on decarbonising power generation using low-carbon technologies, we know how crucial it is for hydrogen production to be scaled up this decade. H2NorthEast will help to deliver production at significant scale while also serving as a key enabler of green hydrogen, benefiting the UK’s net zero ambitions and creating an engine room for industrial growth.”