German industrial gas giant Linde has signed a long-term carbon dioxide offtake agreement with ExxonMobil, under which the supermajor will store Linde’s carbon dioxide emissions from its new blue hydrogen production complex in Beaumont, Texas.
ExxonMobil plans to store up to 2.2 million tonnes of carbon dioxide per year from the $1.8 billion facility.
“ExxonMobil’s agreement with Linde underscores our growing momentum in providing industrial customers with large-scale solutions to sequester carbon dioxide emissions,” said Dan Ammann, president of ExxonMobil Low Carbon Solutions.
“Linde’s Beaumont clean hydrogen project is another significant step towards achieving heavy industry’s decarbonization and net zero goals.”
Linde had previously announced the project to supply hydrogen and nitrogen to OCI’s new blue ammonia plant. Linde’s new facility is expecting startup in 2025, and hydrogen from the plant will be used to produce 1.1 million tonnes of ammonia per year.
The hydrogen could also be provided to other customers along the Gulf Coast, using Linde’s extensive pipeline network, the company said.
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“Clean hydrogen is a key enabler of industry’s transition to a low-carbon economy,” said Dan Yankowski, senior vice president Americas at Linde.
“Working with ExxonMobil as the carbon dioxide off-taker at our Beaumont project supports Linde’s strategy to decarbonize customer processes while safely and reliably supplying low-carbon hydrogen at scale.”
Linde also has a separate partnership with UK supermajor BP to develop a carbon capture hub in the Houston area, just west of Beaumont, that would capture and store up to 15 million tonnes of carbon dioxide per year from Linde’s hydrogen production in the area and from other sources.
It was initially believed that this carbon storage project would be involved in Linde’s new clean hydrogen facility in Beaumont, as the company’s have said the hub could potentially store carbon dioxide from Linde’s other facilities in Texas.
ExxonMobil is growing its third-party decarbonisation efforts, announcing last October plans to store 2 million tonnes of carbon dioxide from CF Industries’ blue ammonia complex in Louisiana.