Britain’s hydrogen infrastructure is set for a boost after two major investment plans were unveiled today.
British Gas owner Centrica (LON:CNA) is planning a GBP1.6bn overhaul of its Rough gas storage site in the North Sea to switch it to hydrogen instead of methane.
Rough is 18 miles off the coast of Yorkshire and the upgrade might create 3-4,000 jobs during construction, Centrica said.
The plant can be running by as early as 2025-2026, Centrica said, if there is more clarity on the UK policy towards hydrogen.
Meanwhile, a hydrogen project investment firm backed by one of the UK’s richest men announced plans to list on the London stock market.
Jim Ratcliffe’s Ineos is one of HydrogenOne Capital Growth PLC‘s (LON:HGEN) cornerstone investors and will subscribe for a minimum of 25mln shares at the issue price.
The firm is looking to raise GBP250mln to invest in green and blue hydrogen projects.
INEOS claims to be Europe’s largest hydrogen producer, with an annual output of around 400,000 tonnes in addition to an electrolyser subsidiary.
“The INEOS investment in HydrogenOne will help to accelerate and diversify INEOS’ existing clean hydrogen strategy. It marks the beginning of another substantial and long-term partnership, opening new windows into the clean hydrogen world for INEOS,” it said in a statement.
Hydrogen One, which will be London’s first listed investment fund dedicated to clean hydrogen, says it has identified 36 assets to form the basis of its portfolio but reckons the market overall is worth US$90bn.
Simon Hogan, the chairman, said: “HydrogenOne is the first of a kind. The offering here is for distinctive and specialist access to the growth potential in clean hydrogen energy, that is simply not available elsewhere.
“We welcome INEOS’ investment in the company and we are looking forward to expanding our collaboration.”