Green hydrogen project developer Gen2 Energy has signed a deal with ship designer Sirius Design and Integration to design two ships to transport compressed hydrogen.

The two ships will be able to carry around 500 containers each, with each container the size of a standard shipping container and specially designed to carry a compressed form of the fuel. Once the ships are designed, Gen2 Energy will decide whether to commission construction.

Gen2 Energy is developing several green hydrogen projects in Norway based on using the country’s excess supply of hydroelectric power. The company says it has a total project pipeline of c.700MW that will start production in 2024-26.

Work at the company’s initial site in the north of Norway is underway. Once complete, it will have a capacity of at least 80MW, producing 11,700t/yr of green hydrogen from late 2023 or early 2024. And Gen2 Energy is exploring the possibility of shipping hydrogen from this facility.

“By working jointly with the experienced team of Sirius D&I, we feel confident that we will reach our set goals and be ready to deliver hydrogen to our clients when our productions start,” says Jonas Meyer, CEO of Gen2 Energy.

Shipping hydrogen

Hydrogen is expensive and difficult to ship, and no single technology has yet emerged as the most cost-effective solution.

“We feel confident that we will reach our set goals” Meyer, Gen2 Energy

Compressed hydrogen is currently transported on road networks and therefore is considered one of the most developed options for seaborne transportation, alongside conversion to ammonia.

One of the advantages of compressed hydrogen ships is that their capacities can be scaled to the size of the market, whereas liquefied hydrogen ships must be relatively large to be economic.

The technology also suffers from fewer efficiency losses along the value chain compared to other methods of shipping hydrogen in their current form—resulting in a lower delivered cost.

Rival technologies

Liquefied hydrogen is often viewed as the natural successor to ammonia as export markets build and technology cost come down. Firms such as Japan’s Kawasaki Heavy Industries have developed liquefied hydrogen shipping vessels, and the first shipment was made using the technology earlier this year—although this ship suffered a fire incident during the voyage.

Many firms are also investigating the use of liquid organic hydrogen carriers (LOHCs), which is currently considered the least developed technology. Making an LOHC involves attaching hydrogen molecules to carrier molecules and then re-extracting pure hydrogen at the destination. LOHCs are similar in form to oil products and can be carried on product tankers.

Growing interest

Gen2’s shareholders include commodities trading group Vitol, which took a 10pc stake as an anchor investor in a funding round last year. Other investors include London-based investor Hycap, London-listed listed investment fund HydrogenOne Capital Growth, Norway-based LNG terminal developer Hoegh LNG and Norwegian shipping company Knutsen Group.

---

Author: Tom Young