Inpex, Japan’s largest oil and gas exploration and production company, and Green Hydrogen International (GHI) have signed a joint study agreement to advance GHI’s flagship Hydrogen City production hub in South Texas with the aim of producing green hydrogen and green ammonia to meet growing Asian and global market demand.
“I am excited to announce this green hydrogen project in Texas, which exemplifies our unwavering commitment to environmental leadership and innovation,” said Takayuki Ueda, president and CEO of Inpex. “This project perfectly aligns with our Vision@2022 as we strive to reshape the energy landscape by producing green hydrogen and accelerating the transition to a sustainable, carbon-neutral world.”
GHI’s low-cost model of producing green hydrogen using salt cavern storage and behind-the-meter renewable power aims to solve the cost and scale challenges of green hydrogen production.
“GHI is honored to be partnering with Inpex Corporation on our Hydrogen City project,” said Brian Maxwell, CEO of GHI. “Their unapparelled expertise in large energy project development combined with a world-class marketing organization will provide enormous advantages to the Hydrogen City project and our goal of producing the world’s lowest-cost green hydrogen by 2029.”
Phase 1 of the Hydrogen City project is planned to produce 280,000 tons per year of green hydrogen, which will be used to produce 1 million tons per year of green ammonia for export. Additional volumes of green hydrogen will be available for local customers. The project will be powered by 3.75 GW of behind-the-meter renewable energy and use large-scale salt storage to balance out the daily and seasonal intermittency of renewable energy. Construction is planned to start in 2026, with commercial operation planned for 2029. The partners plan to expand the project with additional phases as customer demand grows.