Reuters, February 9,2023
Linde (LIN.N), , the world’s largest industrial gases company, said on Monday it will invest $1.8 billion to supply clean hydrogen to OCI’s (OCI.AS) blue ammonia plant in the U.S. state of Texas.
The U.S.-German company said it will supply OCI with clean hydrogen by sequestering more than 1.7 million metric tons of carbon dioxide emissions each year, after the expected start-up in 2025.
“Linde’s capabilities are already enabling the transition to a low carbon intensity economy,” Chief Executive Sanjiv Lamba said in a statement.
In 2022, Linde signed deals with BASF (BASFn.DE), BP (BP.L) and Airbus (AIR.PA) to develop clean hydrogen projects, as countries look to cut back on emissions and scale up renewables across polluting sectors in an effort to meet the EU’s net-zero emissions goal by 2050.
Linde said it will build, own and operate an on-site complex at the OCI plant, which will include autothermal reforming – a process to produce low-carbon hydrogen – with carbon capture, plus a large air separation plant.
Lamba added that with support from the U.S. Inflation Reduction Act, the company is well positioned to secure future clean energy projects.
Under the multi-billion dollar act, Washington will subsidise products ranging from electric cars to solar panels as long as they meet requirements on being locally produced. The legislation has rattled European countries, which fear the measures could put companies based in Europe at a disadvantage.