BP targets double-digit hydrogen returns
The major aims to establish foundations for ‘a material business’ from 2030s, CEO tells investors
BP will target “double-digit” returns from its hydrogen business, with an ambition to produce 500,000–700,000t/yr of “primarily green” hydrogen from 2030, CEO Bernard Looney told a 2022 results call this morning. BP expects to leverage its refining business to act as anchor offtake for hydrogen projects in the US and Europe in order to build regional hubs with eventual third-party offtake from industries seeking to decarbonise, such as steel. It expects to take FID and begin construction on such projects between 2023 and 2025, with startup from 2025–30. The major also plans to build export hubs for hydrogen and its derivatives, with FID and construction on these projects expected over 2025–3
Also in this section
22 March 2024
German energy firm and Canada-based Pattern Energy aim to ship green ammonia to Hamburg in latest move to secure imports to Europe’s largest economy
22 March 2024
French company prepares for commercial launch of underground storage system to be deployed at green hydrogen production and consumption sites
21 March 2024
Region has competitive edge in low-carbon hydrogen, but infrastructure and export challenges are key roadblocks to overcome
18 March 2024
Major Indian companies are venturing into the sector thanks to government support, but cost and incentive questions persist