ExxonMobil has awarded a contract to Technip Energies for front-end engineering and design (FEED) of its planned low-carbon hydrogen, ammonia, and carbon capture facility destined for Baytown, Texas. A final investment decision for the project is expected by 2024.
The facility is expected to produce 1Bcf/D of low-carbon hydrogen, making it the largest low-carbon hydrogen project in the world at planned startup in 2027–2028. More than 98% of the associated CO2 produced by the facility, or around 7 million metric tonnes per year, is slated to be captured and permanently stored. The carbon capture and storage network being developed for the project will be made available for use by third-party CO2 emitters in the area in support of their decarbonization efforts.
According to ExxonMobil, offtake agreements are under discussion with third-party customers.
“This project allows us to offer significant volumes of low-carbon hydrogen and ammonia to third-party customers in support of their decarbonization efforts,” said Dan Ammann, president of ExxonMobil Low Carbon Solutions. “In addition, the project is expected to enable up to a 30% reduction in Scope 1 and 2 emissions from our Baytown integrated complex, by switching from natural gas as a fuel source to low-carbon hydrogen.”
The new facility will pair the world’s largest low-carbon hydrogen facility with the largest olefins plant in the US to deliver more-sustainable, lower-emissions products.
The supermajor announced last March it planned to construct a hydrogen facility that would produce up to 1.0 Bcf/D of “blue” hydrogen. The carbon capture infrastructure for this project would have the capacity to transport and store up to 10 million metric tons of CO2 per year, more than doubling ExxonMobil’s current capacity. Access to surplus hydrogen and CO2 storage capacity would be made available to nearby industry.
In 2021, ExxonMobil announced Scope 1 and 2 greenhouse gas emission-reduction plans for 2030 for operated assets, compared to 2016 levels. The plans are to achieve a 20–30% reduction in corporatewide greenhouse gas intensity; a 40–50% reduction in greenhouse gas intensity of upstream operations; a 70–80% reduction in corporatewide methane intensity; and a 60–70% reduction in corporatewide flaring intensity.
With technology advancements and the support of government policies, ExxonMobil aims to achieve net-zero Scope 1 and 2 greenhouse gas emissions from its operated assets by 2050.
