Hyundai Oilbank and Air Products sign MoU for hydrogen power
South Korean refiner Hyundai Oilbank will work with Air Products & Chemicals Ltd., the world’s leading hydrogen supplier, to develop hydrogen technology and business models.
Hyundai Oilbank and Air Products signed a memorandum of understanding for cooperation in producing hydrogen and its applications in various areas.
The major refiner said it will adopt Air Products’ technology to produce hydrogen using natural gas and crude byproducts for use in vehicles and power generation. Air Products, based in Philadelphia, is the world’s leading supplier of hydrogen and hydrogen mobility solutions with over 60 years of experience.
Hyundai Oilbank said it plans to produce 10,000 tons of “blue” hydrogen by 2025 and develop a business model for “green” hydrogen in collaboration with Air Products to switch to the less carbon-intensive business model. Further Hyundai Oilbank aims to reduce the ratio of its refinery business from the current 85 percent of the total to 50 per cent by 2030 to reduce its carbon emissions and diversify its energy mix.
Hydrogen option for clean energy
Hydrogen has emerged as an important part of the clean energy mix needed to ensure a sustainable future. It can also help improve air quality and strengthen energy security.
Falling costs for hydrogen produced with renewable energy, combined with the urgency of cutting greenhouse-gas emissions, has given clean hydrogen unprecedented political and business momentum, according to a report by International Renewable Energy Agency (IRENA).
In February this year, Atos and HDF Energy announced their plan to develop a complete end-to-end long-term solution to supply data centres with green hydrogen generated by renewable energy. The new solution by Atos and HDF will be the first available on the market for data centres with heavy power consuming workloads, company officials said. HDF Energy is an Independent Power Producer (IPP) focussing on utility-scale clean power generation.
Currently, there are three ways to make hydrogen. Grey hydrogen is produced when the element is stripped out of fossil fuels, while blue hydrogen is produced from natural gas and produces less CO2.
Green hydrogen is the cleanest variety as it uses renewable energy to produce hydrogen from water, according to industry watchers.