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SGH2 seeks to build major green hydrogen plant in California

EMEC hydrogen storage cylinders (Credit Colin Keldie)

May 21 (Renewables Now) - SGH2 Energy Global LLC, part of multinational company Solena Group, on Wednesday unveiled plans to build in Lancaster, California, what it says would be the world’s largest green hydrogen plant.

The energy firm has recently entered into a memorandum of understanding (MoU) with the City of Lancaster, which will host and co-own the project. Companies such as Fluor, Berkeley Lab, UC Berkeley, Thermosolv, Integrity Engineers, Millenium, HyetHydrogen and Hexagon will all participate, with Fluor in particular taking the role of front-end engineering and design provider.

The facility will be constructed on a 5-acre (2 ha) site and will use recycled mixed paper waste to produce up to 11,000 kilograms (24,251 pounds) of green hydrogen per day and 3.8 million kilograms annually. This is “nearly three times more than any other green hydrogen facility, built or under construction, anywhere in the world,” SGH2 said.

Hydrogen refuelling station (HRS) owners and operators in California are currently negotiating the purchase of the plant’s output.

According to SGH2, its technology reduces carbon emissions by two to three times more than alternative green hydrogen options. Moreover, the produced hydrogen is five to seven times cheaper, it says. The developer also claims that its green hydrogen is cost competitive with “gray” hydrogen produced from fossil fuels.

The project will create 35 permanent jobs upon completion and more than 600 positions during the construction phase. SGH2 expects to begin building works in the first quarter of 2021 and commission the facility in the final quarter of 2022. Full operations are scheduled for the opening quarter of 2023.

SGH2 added it is holding talks to launch similar projects in France, Saudi Arabia, Ukraine, Greece, Japan, South Korea, Poland, Turkey, Russia, China, Brazil, Malaysia and Australia.

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Browse all articles from Ivan Shumkov

Ivan is the mergers and acquisitions expert in Renewables Now with a passion for big deals and ambitious capacity plans.

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