Petroleum Review; 16-9-2021
BP, ADNOC and Masdar have signed three agreements with the potential to lead to billions of dollars of investment into clean and low carbon energy, creating potentially thousands of energy jobs.
The first agreement would see the companies collaborate to develop 2 GW of low carbon hydrogen initially across hubs in the UK and United Arab Emirates (UAE). The deal could make a significant contribution towards the UK government’s target to develop 5 GW of hydrogen production by 2030. It could also lead to the first international investment in the low carbon hydrogen facility in Teesside (H2Teesside), which aims to produce 1 GW of blue hydrogen starting in 2027. H2Teesside would capture and store up to 2mn t/y of CO2 through the Northern Endurance Partnership (NEP).
As part of the first agreement, BP, ADNOC and Masdar also intend to pioneer decarbonised air corridors between the UK and UAE.
BP and Masdar have also agreed to explore opportunities to develop, build and operate sustainable energy and mobility solutions for cities – in the UK, UAE and beyond – on the road to net zero. The two companies will initially focus on the application of energy efficiency and storage, cleaner fuels and distributed renewables generation.
BP and ADNOC also plan to deepen their collaboration to decarbonise oil and gas operations in Abu Dhabi, including the potential development of carbon capture, use and storage (CCUS) hubs. The two companies would also harness advanced methane emission detection and reduction technologies and create Smart Decision Centres in the UAE, where digital and AI technology would then be used to accelerate operational efficiency.