Ireland's ESB and energy storage developer dCarbonX have signed a memorandum of understanding to assess and develop offshore renewable hydrogen subsurface storage offshore Ireland, the companies said May 26.
The partnership will also support the creation of a proposed "green hydrogen valley" centered around the Poolbeg peninsula in Dublin, integrating renewable hydrogen production and storage with a view to decarbonizing heavy transport, shipping, industry and power generation, the companies said in a statement.
The companies said storage caverns for large quantities of renewable hydrogen could be used to balance the electricity grid, producing hydrogen for storage from surplus wind power for conversion back into the grid at times of low wind generation.
"ESB and dCarbonX will work together on licensing, environmental studies, site selection, project sanctioning, offshore infrastructure development, commissioning and operations in areas that are adjacent to ESB's existing and planned future infrastructure," the companies said.
"The large-scale underground storage of green hydrogen is the critical element to Ireland fully exploiting its significant indigenous wind energy resources both for domestic consumption and overseas export," dCarbonX CEO Tony O'Reilly said.
"Our partnership with ESB leverages on our core subsurface capabilities, offshore operating expertise and project management skills to deliver the required subsurface energy storage solutions. We are excited to be working with a company of the caliber of ESB on this significant energy transition project which is of Irish and European strategic importance."
dCarbonX is primarily focused on developing storage for green hydrogen, and is also exploring opportunities for carbon capture, use and storage, and geothermal energy in other UK and Ireland offshore locations. It aims to build and operate a portfolio of subsurface storage facilities to store 11 TWh of hydrogen and other hydrogen carriers, such as ammonia, and 8 million mt/year of CO2.
"Hydrogen produced from renewable electricity will play a significant role in the decarbonization of many sectors," ESB's strategy manager for generation and trading, Padraig O'Hiceadha, said.
ESB aims to "become a leading player in large-scale renewable hydrogen production, thereby enabling renewable electricity, in the form of electrons or green molecules, to meet the energy requirements of Ireland's future zero-carbon economy," O'Hiceadha said.
Platts assessed the cost of producing hydrogen via alkaline electrolysis in the UK (including capex) at GBP4.66/kg ($6.58/kg) May 26. PEM electrolysis production was assessed at GBP5.76/kg, while blue hydrogen production by autothermal reforming was GBP1.74/kg (including capex and carbon).
