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Equinor and Tallgrass team up to explore hydrogen in the US


Equinor and Tallgrass team up to explore hydrogen in the US

Norwegian energy giant Equinor is working with US company Tallgrass Energy to develop large-scale hydrogen and ammonia projects in North America. - UpstreamOnline

The two companies will partner up to fund a front-end engineering and design (FEED) study that will focus on hydrogen production with at least 95% capture and sequestration of carbon dioxide, along with ammonia production for the transportation and storage of hydrogen.

The joint initiative with Tallgrass to launch plans for a large-scale clean ammonia value chain in the US is fully in line with the roadmap of making Equinor carbon neutral by 2050. It builds on complementary experience in both companies and the common aspiration to take a leading role in the global energy transition.

Grete Tveit, senior vice president for low carbon solutions at Equinor

The companies said recent policy developments have confirmed the US commitment to decarbonised energy projects, including low-carbon hydrogen. The US Congress recently passed the Inflation Reduction Act, which increased the 45Q tax credit for carbon dioxide reduction from $50 per tonne to $85 per tonne for permanent geological storage, among other clean energy efforts.

The location of the collaboration is undecided, with several regional energy centres across the US being evaluated.

The magnitude of annual emissions reductions from our potential regional energy centres equates to eliminating the CO2 emissions of over one-third of the total automobiles on the road in states as populous as Colorado, Arizona, and Massachusetts. It is this type of meaningful decarbonization that we are committed to rapidly advancing.

Dustin Bashford, Tallgrass’ segment president

Tallgrass has been working on progressing carbon capture efforts in Wyoming, Nebraska, and Colorado. The company is converting its natural gas pipeline into a CO2 transportation service and intends to capture more than 10 million tonnes of CO2.

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