Shell and RWE team up on H2 production, use and distribution

Shell and RWE Generation have signed a memorandum of understanding (MoU) to jointly advance projects for the production, use and distribution of green hydrogen (H2).

The aim of the MoU is to identify concrete project options which could then be developed toward investment decisions.

Hydrogen is crucial for the decarbonisation of industry and achieving climate neutrality. Accordingly, the demand for green and blue hydrogen is increasing. Thus, the two companies want to focus their cooperation on this potential.

RWE and Shell already have a background of cooperation through the projects NortH2 in the Netherlands and AquaVentus in Germany. They will also look into integrated H2 production projects in the industrial regions in the northeast of England. Such projects are Teesside and Humberside.

The companies intend to jointly assess the future development of electrolysis plants to produce green hydrogen. Additionally, they will consider locations that have potential pipeline capacity for hydrogen. The companies want to investigate whether green energy can be transported from such locations to customers via hydrogen pipelines.

They also want to develop new green hydrogen solutions for industrial customers.

In addition, they intend to evaluate the possible application of green hydrogen in the mobility sector in Germany, the Netherlands, and the UK.

In the MoU, the two companies also agreed to examine technical alternatives for the decarbonisation of RWE’s gas and biomass power plants, such as the possibility of capturing and storing CO₂. The companies will also examine the use of blue hydrogen in RWE’s gas-fired power plants in Pembroke (Wales), Emsland (Germany), and Moerdijk (the Netherlands), among others. If progressed, Shell would produce and supply the hydrogen as well as capture and store the CO₂.