Dubai's Kent awarded large UK electrolytic hydrogen FEED contract

Dubai-headquartered engineering firm Kent has been appointed as front-end engineering and design (FEED) contractor for Grenian Hydrogen's six electrolytic hydrogen projects in northwest England and north Wales, Kent said June 7.

The projects, ranging from 10 MW to 30 MW, are located at the Protos Energy Park in Cheshire and large manufacturing plants in St Helens (Liverpool), Stretford (Manchester), Middlewich and Winnington (Cheshire). Grenian is also developing projects in Wrexham, north Wales, and in Speke, Liverpool.

FEED studies will develop sites "such that related final investment decisions can be made to progress each of the projects to execution," Kent said.

Grenian Hydrogen, a joint venture between Progressive Energy, Statkraft and Foresight, has been awarded funding under the government's Net Zero Hydrogen Fund and Hydrogen Business model to develop six green hydrogen projects within the HyNet cluster in northwest England and north Wales.

"The Department of Energy Security and Net Zero's funding requirements impose a strict budget and tight timescale," said Matt Wills, Market Director Low Carbon at Kent. The contractor's prior work with HyNet and its hydrogen technology expertise would help it meet FEED project goals, he said.

"This cluster of projects is a huge step forward for the future viability of green hydrogen," he added.

HyNet comprises full value chain infrastructure to produce, transport and store low carbon hydrogen across the northwest of England.

Partners to the project include Eni, Essar and Cadent, while 40 organizations have signed up to decarbonize via HyNet projects.

These include Grenian's flagship 30 MWe Cheshire Green Hydrogen at Peel's Protos site near Ince, which has been short-listed by the government for a 15-year Low Carbon Hydrogen Agreement (LCHA).

The agreements are to support selected producers via a premium payment, calculated as the difference between a strike price (reflecting a unit cost of production negotiated on a project-by-project basis) and a reference price (based on the price of hydrogen sold, with a floor at the natural gas price).

Platts, part of S&P Global Commodity Insights, assessed the price of hydrogen (UK PEM electrolysis, including capex) at GBP5.54/kg June 6.