Black & Veatch selected as EPC contractor for 220-MW Hydrogen Creation and Storage project in Utah

April 27, 2022
The Advanced Clean Energy Storage project will include 220 MW of electrolyzers, gas separators, rectifiers, medium-voltage transformers and controls provided by Mitsubishi Power. Hydrogen does not emit carbon dioxide when burned

Mitsubishi Power Americas and Magnum Development are working on a global-scale industrial green hydrogen production hub and have selected Black & Veatch to lead engineering, procurement and construction services on the Delta, Utah project.

The Advanced Clean Energy Storage project will include 220 MW of electrolyzers, gas separators, rectifiers, medium-voltage transformers and controls provided by Mitsubishi Power. Hydrogen does not emit carbon dioxide when burned and is green if created by electrolyzers powered by clean energy resources.

Black & Veatch has more than 80 years in experience as a power project EPC leader. It also was named as a lead engineer for the nearby Intermountain Power Agency generation plant which will be fueled by the hydrogen.

The massive Utah hydrogen project is “helping pave the way for a lower-carbon energy future that takes the energy transition farther, faster,” Black & Veatch incoming chair and CEO Mario Azar said. “The Advanced Clean Energy Storage hydrogen hub is a transformative event in the development of green hydrogen, long-duration energy storage and decarbonization at scale.”

The new hydrogen hub will be designed to convert more than 220 MW of renewable energy to 100 metric tons of green hydrogen daily. The H2 will be stored in two sprawling salt caverns beneath the Utah landscape.

Storing the renewable generation as hydrogen offers a long-term and long-duation energy storage solution. It complements battery storage capacity while allowing the renewables to be deployed during times of highest demand, the companies say.

Construction on the Advanced Clean Energy Storage project begins this spring. It will be adjacent to the Intermountain Power Agency’s IPP Renewed Project and support the 840-MW gas-fired and hydrogen-capable combined cycle power plant also under construction.

The IPP gas-fired turbines initially will run on a 70/30 blend of natural gas and hydrogen beginning in 2025. The power plant eventually will expand the H2-fired portion to 100 percent by 2045.

“We are committed to advancing the development of green hydrogen, long duration energy storage, and decarbonization at scale and are thrilled to be working with Black & Veatch on building the critical infrastructure needed to achieve our vision towards a 100-percent carbon-free future,” said Michael Ducker, president of advanced clean energy storage and chief operating officer for the joint venture.

The U.S. Department of Energy has committed $504 million in conditional debt financing for the joint venture project. Magnum’s financial advisor Haddington Ventures is working to raise another $650 million in equity financing for the project, according to reports.

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(Rod Walton, senior editor for EnergyTech, is a 14-year veteran of covering the energy industry both as a newspaper and trade journalist. He can be reached at [email protected]).

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