not many people know
Paul Homewood
h/t Philip Bratby
Norwegian energy giant Equinor has canceled plans to produce so-called blue hydrogen, citing high costs and lack of demand.
The move will raise concerns about Equinor's plans in the UK, where the company is heavily involved in a number of projects Hydrogen project.
It promises to produce low-carbon hydrogen from natural gas, known as blue hydrogen, in conjunction with Norwegian carbon capture and storage (CCS) technology. The hydrogen produced will then be exported to hydrogen power plants in Germany.
The project will include the construction of the world's first offshore hydrogen pipeline.
The problem for Equinor's German project is that it can't find enough customers for the hydrogen it plans to produce.
Equinor cannot continue to develop these plans without strong long-term commitments from European buyers to import hydrogen, Eidsvold said.
“We cannot make this type of investment without long-term agreements and markets,” he said.
https://www.telegraph.co.uk/business/2024/09/21/norwegian-oil-giant-equinor-abandons-blue-Hydrogen-plans
This is the old vicious cycle!
There is no natural market for bulk hydrogen because it is much more expensive than natural gas.
Therefore, Equinor can only sell the product if German customers receive significant government subsidies.
Relevant
