Essar Energy Transition Starts Construction At Second Hydrogen Plant In U.K.

Essar Energy Transition Hydrogen, earlier known as Vertex Hydrogen, has started construction work at the second hydrogen plant that will meet the local industrial and power demand in the U.K.

The plant will have a peak power generation capacity of 1,000 megawatts and will produce 230,000 tonnes of low-carbon hydrogen, the company said on Monday.

The hydrogen plant, claimed to be the largest in the U.K. and one of the largest in the world, will be completed in phases, with the first phase expected to be over in the next seven to eight months.

The plant will prove to be a catalyst for investments across the U.K. North-West for infrastructure that will transport and store hydrogen and for industrial and power generation customers, who will ‘fuel switch’ to this low-carbon fuel, the company said in a statement.

Including the first plant of 350 MW, the total investment is estimated to be around 1 billion pounds.

The plant will deliver the first low-carbon refining, glass, and chemical manufacturing sites in the world, according to the company. HPP2 will be adjacent to the HPP1 plant, benefiting from the synergies and helping to deliver value for money, it said.

“We are delighted to be an anchor customer for the EET Hydrogen business as we develop and implement a number of sector-leading hydrogen use cases and decarbonise our operations and manufacturing processes,” said Deepak Maheshwari, chief executive officer of Essar Oil U.K.

The first project, HPP1, completed front-end engineering and design in September 2021 and was selected by the government in March 2023 as one of two initial large low-carbon hydrogen plants in the U.K.