ExxonMobil and Worley Team Up for World's Largest Blue Hydrogen Plant
Texas, Tuesday, 17 December 2024.
ExxonMobil’s Baytown project, partnering with Worley, aims to produce 28.3 million cubic metres of low-carbon hydrogen daily by 2029. This massive plant highlights the shift towards sustainable energy.
Strategic Partnership and Project Scope
I’m excited to share that ExxonMobil has chosen Worley, the Australian engineering powerhouse, to handle the engineering, procurement, and construction (EPC) for their groundbreaking facility in Baytown, Texas [1][2]. The project scope encompasses crucial enabling works, infrastructure, and interconnections [2]. What makes this particularly interesting is that the facility will capture more than 98% of its CO2 emissions during production [2], setting new standards for environmental responsibility in hydrogen production.
Production Capacity and Timeline
The numbers here are truly impressive. Upon completion, this facility will produce up to 28.3 million cubic metres of low-carbon hydrogen daily and nearly one million tonnes of ammonia annually [1]. The project timeline shows careful planning - while ExxonMobil expects to make the final investment decision (FID) in 2025, the facility aims to begin operations in 2029 [1][2]. I should note that this timeline makes it particularly relevant as blue hydrogen is predicted to be a key energy driver in the US, with the country already leading in post-FID blue hydrogen capacity at over 1.5 million tonnes per annum [1].
Strategic Partnerships and Market Impact
What’s fascinating about this project is the strong international collaboration behind it. In September 2024, Abu Dhabi National Oil Company (ADNOC) secured a 35% stake in the facility [2]. The project has also attracted partnerships with Air Liquide and JERA, focusing on developing the low-carbon hydrogen market along the U.S. Gulf Coast [2]. As Chris Ashton, Worley’s CEO, points out, this project significantly strengthens their order backlog and continues their strategic relationship with ExxonMobil [1][2].
Environmental and Economic Impact
I find it particularly noteworthy that this project isn’t just about energy production - it’s about transforming the industrial landscape. The facility will contribute to reducing greenhouse gas emissions in traditionally hard-to-decarbonize sectors like industry, energy, and transportation [2]. Additionally, it’s expected to create jobs and drive community development in Baytown, the greater Houston area, and Texas [2]. However, it’s worth mentioning that there are some political considerations at play - recent discussions at the Hydrogen Conference 2024 highlighted potential risks to the Inflation Reduction Act under the new political landscape [1].