Germany’s energy company Uniper wants to buy hydrogen from Middle East producers in order to achieve carbon-neutrality by 2035 for its European operations.
Uniper sees hydrogen as one solution for the carbon-neutrality of its European assets by 2035.
Platts reports that Uniper wants to buy and trade hydrogen. In other words, its primary target is not to invest and operate assets in the region, but mainly be an offtaker.
The company also said it would use its LNG shipping and storage network in Europe to support its hydrogen business. It plans to ramp up its hydrogen production capacity in Germany from four megawatts to one gigawatt.
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Oman forms national hydrogen alliance to push energy transition Business Developments & Projects Axel Wietfeld , CEO of Uniper Hydrogen, told Platts that H2 demand will double, and even triple in the next two decades. Consequently, the production will not be sufficient in Europe. The continent will have to import 50 per cent of its hydrogen needs in the next few years. The estimation for Germany is even higher with 75 per cent.
Earlier this year, Uniper said it would join Oman ‘s Hyport Duqm renewable hydrogen project. The goal is to provide engineering services and negotiate an exclusive offtake agreement for green ammonia from the facility.
Uniper’s European storage capacity amounts to eight billion cubic metres and it can be used to store hydrogen. By using its LNG network, the company expects to transport hydrogen assets to Europe. It has exported 310 LNG cargoes so far this year from Europe with 75 per cent of them sent to Asia.