Ineos plans low-carbon hydrogen plant

INEOS is inviting major engineering design contractors to tender for the next stage of the design of a world-scale hydrogen manufacturing plant and major associated infrastructure, taking a step towards delivering a sustainable, net zero carbon future at its site in Grangemouth, Scotland.

In September 2021, the company announced it would invest £1bn (US$1.35bn) to reduce emissions at Grangemouth by moving to production and use of hydrogen by all business at the site, including its New Energy Plant. The plant, due for commissioning in 2023, will employ highly efficient technology to supply energy to all site operations and reduce emissions by at least 150,000 t/y. It will later be converted to run on hydrogen, further reducing CO2 emissions.   

Access to locally-produced hydrogen will also benefit other assets at Grangemouth, displacing hydrocarbons and fuelling assets such as an existing combined heat and power plant, KG ethylene plant, and assets in the Petroineos refinery. Petroineos is a refinery and energy trading joint-venture between PetroChina and Ineos.

The scope of the engineering design includes a new hydrogen distribution network throughout the site and modifications to the existing gas network. It is also planned that there will be capability to link hydrogen production to third parties in the local area, supporting development of a local hydrogen hub.

The planned hydrogen project will have access to Scottish Cluster carbon capture and storage (CCS) infrastructure. More than 1m t/y of CO2 from the hydrogen plant will be sent directly offshore through existing pipelines for geological storage under the North Sea. Ineos is a partner in the Scottish Cluster, which is delivering CCS, hydrogen, and other low carbon technologies to support Scotland, the UK, and Europe to meet net zero goals.

Stuart Collings, CEO of Ineos O&P UK, explained that the CO2 captured will be routed to the Scottish Cluster’s Acorn CCS project.

Andrew Gardner, Chairman of Ineos at Grangemouth, said: “The construction of a world-scale, low-carbon hydrogen plant is an exciting development at Grangemouth and one that will deliver on our commitment to achieve net zero by 2045. It builds on the significant CO2 reductions we’ve already made at Grangemouth since we acquired the site in 2005. We are determined to reduce our own emissions to net zero, create products that will help others reduce their emissions, and play a leading role in a clean hydrogen revolution.”