Lhyfe and Centrica have agreed to jointly develop offshore renewable green H₂ in the UK in a first for the country. The companies have signed a memorandum of understanding that could accelerate green H₂ as part of the energy transition in the UK.

Under the agreement, Lhyfe and Centrica will explore combining their expertise to collaborate on a pilot green H₂ production site in the Southern North Sea.

The pilot will aim to combine Lhyfe’s expertise on green H₂ production and Centrica’s experience of gas storage and infrastructure to ensure that the H₂ produced can be safely stored and utilized in the UK. The result would be proof that an end-to-end H₂ production, storage, and distribution system is possible in the country.

The energy firms will also examine an additional partnership to deploy the technology at commercial scale alongside offshore wind electricity production. Renewable green H₂ coupled with offshore wind power is expected to play an increasingly important role in the UK’s energy mix, particularly with rapid expansion expected in both areas over the next 5-10 years.

Colin Brown, UK and Ireland country manager of Lhyfe, said, “We are pleased to announce this agreement with Centrica, which represents an exciting opportunity to drive forward the clean energy transition through large-scale offshore green H₂ production. Offshore electrolysis coupled with H₂ storage will maximize the huge potential of offshore wind around the UK. The UK can become a global leader in the production of renewable green H₂, moving away from our reliance on fossil fuels and improving our homegrown energy security, while delivering net zero and boosting local economies.”

Martin Scargill, Managing Director of Centrica Storage, said, “We are delighted to be working with our partners Lhyfe on another exciting and world-leading H₂ project. H₂ is going to play a key role in decarbonizing the UK’s power supply by 2035 and our long-term ambition is for Rough, our gas storage site, to be the world’s largest H₂ store, offering up to 16 TWh of storage capacity. This pilot will show how green H₂ can be produced, moved and stored in the UK market; all while supporting the UK on its net zero journey.”

The UK Government has doubled its low-carbon H₂ production target from 5 GW to 10 GW by 2030, with at least half of this coming from green H₂. H₂ production is expected to initially support decarbonization of industrial clusters, like the Humber cluster with further use cases developing with a growing H₂ economy.