Vertex Inks Pact With Tata Chemicals Europe For Sale Of Low-carbon Hydrogen

Essar group-promoted Vertex Hydrogen has signed a deal for the sale of over 200 megawatts of low-carbon hydrogen to Northwich-based Tata Chemicals Europe (TCE), the firm said Thursday.

"Under the new offtake agreement, Vertex will supply TCE with hydrogen as the manufacturer continues to decarbonise its operations in the UK with a target of achieving 'net zero' manufacturing by 2030," Vertex said in a statement.

TCE is one of Europe's leading producers of sodium carbonate, salt, sodium bicarbonate and other products used in the manufacturing of food and animal feed, glass, detergents, chemicals and several other industry applications.

In June 2022, Tata opened the UK's first industrial-scale carbon capture and usage plant. The 20 million pound investment captures 40,000 tonnes of carbon dioxide each year, equivalent to taking over 20,000 cars off the road.

Vertex Hydrogen is a joint venture between Essar Oil UK and Progressive Energy. It is building the UK's first low-carbon hydrogen production plant.

Joe Seifert, CEO of Vertex Hydrogen, said: "We are thrilled to sign these Heads of Terms with TATA Chemicals Europe, as an industry leader driving tangible change to reduce emissions. This agreement marks another major step forward in the North West's energy transition, as Vertex continues to help build the UK's low carbon energy future".

Martin Ashcroft, Managing Director of Tata Chemicals Europe, said: "We have been supporters of Vertex and the low carbon hydrogen segment as a real opportunity to further reduce emissions at our world-class CHP facility. This agreement marks the next step in our relationship as we continue our journey as a leader in industrial decarbonisation".

Vertex, the statement said, is investing around 1 billion pound in the North West of the UK plant that will deliver an initial 1,000 megawatts of low carbon hydrogen capacity - enough to provide the fuel consumed by a city the size of Liverpool.

It will capture 1.8 million tonnes of carbon dioxide every year at full capacity - equivalent to taking 7,50,000 cars off the roads.

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