Nouryon, Tata Steel and the Port of Amsterdam will jointly study the feasibility of establishing a large green hydrogen cluster in the Amsterdam region in the Netherlands.
While Nouryon (formerly AkzoNobel Specialty Chemicals) will operate the facility, Tata Steel will use the oxygen to improve the sustainability of its production processes.
Initially, they will study the feasibility of a 100MW water electrolysis facility to produce up to 15,000 tons of hydrogen per year and oxygen at Tata Steel’s IJmuiden site, near Amsterdam.
The initial unit will use renewable electricity, which will enable a carbon saving of up to 350,000 tons of CO2 per year, equivalent to the emissions of over 40,000 households.
A final decision on investment is likely to be announced in 2021.
The parties will also jointly explore the use of hydrogen for turning steel mill emissions into useful chemicals and products.
The Port of Amsterdam will focus on creating infrastructure for the distribution of green hydrogen, which will be the basis for the development of new industries and zero-emission transport in the Amsterdam area.
Nouryon managing director of industrial chemicals Knut Schwalenberg said: “This partnership builds on our existing initiatives to support the development of a sustainable chemical industry.
“Green hydrogen is a realistic alternative for fossil-based raw materials and enables new forms of green chemistry, such as using steel mill gas, CO2, or waste to make plastics and move to new, circular value chains.”
Tata Steel Europe CEO Hans Fischer said: “Tata Steel is a strong supporter of hydrogen as a facilitator of the energy transition. This project could be a stepping stone to make large quantities of affordable hydrogen available in the future to enable us to become a CO2-neutral steel producer.”
The Dutch Climate Law has set a CO2 reduction target of 49% by 2030 compared to 1990, and the parties believe that green hydrogen can contribute to this target.
Port of Amsterdam CEO Koen Overtoom said: “Large-scale production of green hydrogen, fueled by offshore wind, will enable the Amsterdam-North Sea canal region to make a leap forward towards a climate neutral circular industry. It will support our ambition towards synthetic fuels and synthetic kerosene and emission-free mobility.”