Woodside awards FEED work on first hydrogen project in US

Australian energy producer Woodside has awarded a front-end engineering design (FEED) contract on a hydrogen project for the first time, to Kellogg, Brown & Root LLC (KBR) for its proposed H2OK project in Oklahoma.

H2OK is a liquid hydrogen production facility proposed for the Westport Industrial Park in Ardmore. Phase 1 involves construction of an initial 290-megawatt (MW) facility, producing up to 90 tonnes per day (tpd) of liquid hydrogen through electrolysis, targeting the heavy transport sector. The location offers the capacity for expansion up to 550 MW and 180 tpd.

Woodside is targeting a final investment decision on H2OK in the second half of 2022, and first liquid hydrogen production in 2025. Achieving these milestones is subject to all necessary approvals and appropriate commercial arrangements being finalised.

Woodside CEO Meg O’Neill said that new energy projects like H2OK have the potential to create significant value for shareholders, as Woodside looks to diversity product offerings to customers in support of their decarbonisation goals.

“We are excited about the H2OK opportunity, given H2OK’s strategic location close to national highways and the supply chain infrastructure of major companies already looking for reliable, affordable and lower carbon sources of energy.

“Coupled with our recently announced target to invest US$5 billion in new energy products and lower carbon services by 2030, this FEED entry supports Woodside’s strategy to thrive through the energy transition,” she said.