Renewable liquid hydrogen supply chain between Portugal and the Netherlands on the horizon
18 July 2022, the Netherlands
Shell New Energies NL BV, ENGIE, Vopak and Anthony Veder have signed an agreement to study the feasibility of producing, liquifying and transporting green hydrogen from Portugal to the Netherlands, where it would then be stored and distributed for sale.
The consortium envisions hydrogen being produced by electrolysis from renewable power in the industrial zone of the Sines port. Then the hydrogen is liquified and shipped via a liquid hydrogen carrier to the port of Rotterdam for distribution and sale. The aim is to deliver a first shipment of liquid hydrogen from Sines to Rotterdam by 2027.
Key sector players in Heavy duty, Marine and Aviation support this development as it fits well with their intention to decarbonize operations. “We consider liquid hydrogen as a key solution to import renewable energy into markets such as the Netherlands or Germany. We are developing the next generation of trucks which can use liquid hydrogen directly” said Dr. Andreas Gorbach, Head of Truck Technology and Member of the Board of Management Daimler Truck AG.
Building more certainty for customers of liquid hydrogen is needed. Policy instruments that cover cost increases for end-users can be an effective means to achieve this. Such instruments are vital to increase the scale and reduce the cost of liquid hydrogen production and have the power to drive the infrastructure development along the full supply chain.
Within the consortium, Shell and ENGIE will collaborate across the full value chain and Anthony Veder and Vopak involvement will focus on shipping, storage, and distribution. They will initially assess the potential of producing, transporting, and storing around 100 tonnes per day, with potential to scale this up over time.
The governments of Portugal and the Netherlands have strengthened their joint ambition for the production and transport of hydrogen. This feasibility study follows the signing of an MoU in 2020. Furthermore, Portugal and the Netherlands confirmed their joint goals at the Rotterdam World Hydrogen Summit in May 2022.
Note that the project applied for IPCEI notification under H2Sines (Portuguese submission) and H2Sines.Rdam (Dutch submission).
Notes to Editors
- About Shell: Shell is a global energy company with more than 80,000 employees and presence in 70 countries. We aim to meet the world’s growing need for more and cleaner energy solutions in ways that are economically, environmentally and socially responsible. Powering Progress sets out our strategy to accelerate the transition of our business to net-zero emissions. It is designed to deliver value for our shareholders, for our customers and for wider society. Powering Progress serves four main goals: generating shareholder value, achieving net-zero emissions, powering lives and respecting nature. All four goals are critical to our future. Together, they integrate sustainability with our business strategy. Contact: Marc Potma, media-nl@shell.com, +31 (0)70 377 8750
- About ENGIE: ENGIE is a global reference in low-carbon energy and services. With our 170,000 employees, our clients, our partners and our stakeholders, we strive every day to act to accelerate the transition towards a carbon-neutral economy, through reduced energy consumption and more environmentally friendly solutions. Guided by our purpose statement, we reconcile economic performance with a positive impact on people and the planet, using our expertise in our key business areas (natural gas, renewable energies, energy services) to provide competitive to our clients. Turnover in 2021: €57.9 billion. The Group is listed on the Paris and Brussels stock exchanges (ENGI) and is represented in the main financial indices (CAC 40, Euronext 100, FTSE Eurotop 100, MSCI Europe) and non-financial indices (DJSI World, DJSI Europe, Euronext Vigeo Eiris - Eurozone 120/ Europe 120/ France 20, MSCI EMU ESG screened, MSCI EUROPE ESG Universal Select, Stoxx Europe 600 ESG, and Stoxx Global 1800 ESG). Contact: engiepress@engie.com, +33 (0)1 44 22 24 35
- About Vopak: Royal Vopak is the world’s leading independent tank storage company. We store vital products with care. Products for everyday life. The energy that allows people to cook, heat or cool their homes and for transportation. The chemicals that enable companies to manufacture millions of useful products. The edible oils to prepare food. We take pride in improving access to cleaner energy and feedstocks for a growing world population, ensuring safe, clean and efficient storage and handling of bulk liquid products and gases at strategic locations around the world. We are excited to help shape a sustainable future by developing infrastructure solutions for new vital products, focusing on zero- and low-carbon hydrogen, ammonia, CO2, long duration energy storage and sustainable feedstocks. We have a track record of over 400 years in navigating change and are continuously investing in innovation. On sustainability, we are ambitious and performance driven. Our balanced sustainability roadmap reflects key topics that matter most to our stakeholders and where we can have a positive impact for people, planet and profit and the United Nations Sustainable Development Goals. Vopak is listed on the Euronext Amsterdam and is headquartered in Rotterdam, the Netherlands. More information: www.vopak.com. Contact: Press - Liesbeth Lans, global.communication@vopak.com / IR - Fatjona Topciu, investor.relations@vopak.com
- About Anthony Veder: Anthony Veder, established in 1937, acquired its first gas tanker in 1969. As an integrated shipping company, Anthony Veder develops and enhances long-term customer relationships by offering a safe, reliable and flexible service using a wide range of high-quality gas carriers. The group is involved in all segments of gas shipping, from LNG to Ethylene and LPG. Furthermore, the company provides comprehensive technical and commercial ship management services to third parties. Anthony Veder operates a fleet of 33 gas tankers. The Rotterdam based shipping company employs over 1,000 people. More information: www.anthonyveder.com Contact: Nynke de Bakker ndbakker@anthonyveder.com
