INEOS is now channelling its energy and expertise into a new business which has just one aim: to cut CO2 emissions. Its new UK-based business will focus on ramping up production of clean hydrogen across Europe – for its own sites, but critically for other industries now seeking affordable, low-carbon energy.
“We have already been approached by several potential strategic partners, ranging from other chemical partners to connections in the automotive industry,” said Wouter Bleukx, who is manager of the newly-formed Hydrogen Business Unit. “We soon hope to disclose more about these partnerships.”
INEOS-owned INOVYN is Europe’s largest existing operator of electrolysis, the same critical technology which can use carbon neutral energy to produce hydrogen for power, industry and transport.
It also knows how to store and handle hydrogen safely and is working on a first project to potentially store hydrogen in one of its enormous salt caverns in the UK.
“We are uniquely placed to play a leading role in developing these new opportunities,” said Geir Tuft, CEO of INOVYN.
INEOS produces 300,000 tonnes of hydrogen every year, mainly as a co-product from producing chlorine and cracking oil and gas to make olefins and polymers.
Most of the hydrogen is either burned as a fuel or used to make other chemicals.
But INOVYN believes more can be done for the greater good of society.
In the last edition of INCH, Chris Stark, CEO of The Committee on Climate Change, described hydrogen as the Heineken of fuels because of all the parts it reaches.
“We can use it to heat homes and power transport and industry,” he said.
He told INCH that it was impossible for the world to achieve net zero emissions – and, in doing so, drastically cut harmful CO2 emissions – without it.
INEOS is already involved in several projects to encourage others to use hydrogen instead of gas and oil.
Its new Hydrogen Business Unit will work under the umbrella of INOVYN but its strategy will apply to all of INEOS’ businesses around the world.
It aims is to build a large-scale hydrogen production unit within five years.
Earlier this year the European Commission unveiled its own hydrogen strategy. Wouter said that this European roadmap, for widespread use of hydrogen across Europe by 2030 and beyond, presents fresh opportunities for INEOS’ new business.
“Hydrogen is an important part of a climate neutral economy that has been discussed for decades,” he said. “Finally, a hydrogen-fuelled economy is within reach.”
“INEOS is uniquely placed to play a leading role in developing these new opportunities, driven by emerging demand for affordable, low-carbon energy sources, combined with our existing capabilities in operating large-scale electrolysis.”
- The Clean Hydrogen Business Unit will have its headquarters in the UK.
- Our aim is to cut CO2 emissions across all INEOS sites and other European industries with the use of clean hydrogen.
- INEOS will be ramping up production of clean hydrogen across all its European manufacturing sites.
- The production of hydrogen based on electrolysis, powered by zero carbon electricity, will provide flexibility and storage capacity for heat and power, chemicals and transport markets.