Energy giants join forces to explore hydrogen production in the North Sea

Lhyfe and Centrica have signed a Memorandum of  Understanding under which the companies will look at combining their expertise to collaborate on a pilot green hydrogen production site in the North Sea.

Lhyfe bring their expertise on green hydrogen production to the party, while Centrica offer experience of gas storage and infrastructure to ensure that the hydrogen produced can be safely stored and utilised in the UK. 

The companies believe that the end result would be proof that an end-to-end hydrogen production, storage, and distribution system is possible in the country. The companies will also examine an additional partnership to deploy the technology at commercial scale alongside offshore wind electricity production.

Centrica Storage own and operate the Rough gas field storage facility, located off the coast of Humberside which they intend to turn into the largest hydrogen storage facility in the World.

Lhyfe is a European group devoted to energy transition, and a producer and supplier of green and renewable hydrogen. Its production sites and portfolio of projects intend to provide access to green and renewable hydrogen in industrial quantities,

Martin Scargill, Managing Director of Centrica Storage, said: ‘We are delighted to be working with our partners Lhyfe on another exciting and world-leading Hydrogen project. Hydrogen is going to play a key role in decarbonising the UK’s power supply by 2035 and our long-term ambition is for Rough, our gas storage site, to be the world’s largest hydrogen store, offering up to 16TWh of storage capacity. This pilot will show how green hydrogen can be produced, moved and stored in the UK market; all while supporting the UK on its net zero journey.’

Colin Brown, UK and Ireland country manager of Lhyfe, said: ‘We are pleased to announce this agreement with Centrica, which represents an exciting opportunity to drive forward the clean energy transition through large-scale offshore green hydrogen production. Offshore electrolysis coupled with hydrogen storage will maximise the huge potential of offshore wind around the UK. The UK can become a global leader in the production of renewable green hydrogen, moving away from our reliance on fossil fuels and improving our homegrown energy security, while delivering net zero and boosting local economies.’