Pennsylvania: Shell and Equinor initiative applies for hydrogen hub funds

Pennsylvania will compete for a portion of $8 billion in government financing to build a next-generation hydrogen hub in Appalachia through a combined Shell and Equinor project.

The DNA H2Hub project, based in Pennsylvania and Ohio and utilizing the energy and manufacturing know-how of Equinor and Shell, entails the generation of hydrogen for widespread industrial usage. It would concentrate on giving steel and other sectors a sustainable source of energy.

The primary application for Pennsylvania, Team PA Foundation, has enlisted the assistance of additional public and commercial partners, including DCED. The Department of Energy will review the concept paper after receiving it by the deadline on Monday. Seven to ten projects will be chosen to receive a portion of the funds made available under the Bipartisan Infrastructure Law. Specific applications are due in the first week of April. It is anticipated that it will compete against others across the nation, including one in West Virginia involving EQT Corp. and several other public and private groups.

A hydrogen carbon capture initiative was being pursued by Shell and Equinor as of late August, with the possibility of United States Steel Corp. joining as a partner or off-taker. The announcement involving West Virginia and EQT was made in late September.

“According to Abby Smith, president, and CEO of the Team Pennsylvania Foundation, “Pennsylvania is well-positioned to lead the energy transition towards deep decarbonization because of our state’s historical strengths in energy and industrial productivity. And Team Pennsylvania will use its capacity to spur economic development through public-private partnerships to support a request for a hydrogen center that will maintain Pennsylvania’s economic competitiveness for a number of generations.

The Mid-Atlantic Clean Hydrogen Hub (MACH2) initiative, which would involve New Jersey and Delaware as well as the City of Philadelphia, has the support of the state, according to the statement.

“Acting Secretary of Community and Economic Development Neil Weaver stated that Pennsylvania is thrilled to be taking this important step toward joining a DOE-funded H2Hub. This proposed alliance offers a special chance to progress our objectives for lowering greenhouse gas emissions while boosting our economy by putting in place the state’s newest energy and industrial infrastructure.