SHELL said on Thursday (Jul 25) it will build a 100-megawatt renewable hydrogen electrolyser in Germany, the company’s second unit in Europe, which will help it reduce carbon emissions at its refineries.
The Refhyne II electrolyser at the Rheinland refinery is scheduled to begin operating in 2027 and produce up to 44,000 kg per day of renewable hydrogen to partially decarbonise site operations, the company said.
In the longer term, renewable hydrogen from the project could be directly supplied to help lower industrial emissions in the region as customer demand evolves, Shell said in a statement.
In the Netherlands, Shell is currently constructing Holland Hydrogen I project with a capacity of 200 megawatts, one of Europe’s largest renewable hydrogen plants under construction.
The final investment decision to progress with Refhyne II comes after a number of low-carbon projects suffered setbacks under the leadership of CEO Wael Sawan.
Since Sawan took office in January 2023, Shell has scrapped and sold renewable and hydrogen projects, retreated from European and Chinese power markets, and sold refineries, vowing to focus on the most profitable operations, primarily oil and gas, in a push to improve profit.
The British company plans to invest US$10 billion to US$15 billion in 2023/25 to support the development of low-carbon energy.
In 2023, the company invested US$5.6 billion in low-carbon energy, of which 23 per cent was capital spending. REUTERS
