Ørsted has signed a memorandum of understanding (MOU) with Oklahoma-based natural gas operator Williams to explore the potential for developing power-to-X projects in the US.
Under the MOU, the partners aim to combine Ørsted’s renewables and hydrogen expertise with Williams’ natural gas infrastructure and processing experience to co-develop hydrogen or synthetic natural gas facilities powered by renewable energy.
The parties are planning to co-develop a large-scale wind energy, electrolysis, and synthetic gas-via-methanation facility in western Wyoming, where Williams owns land area and natural gas infrastructure. Methanation is the process of converting carbon monoxide or carbon dioxide into methane, which can help decarbonise hard-to-abate sectors such as transport, heating and cooling.
“We’re excited to partner with Williams to deliver clean fuels in the US and transform our onshore business into a potential growth platform for renewable hydrogen,” said Vishal Kapadia, senior vice president and chief commercial officer of Ørsted Onshore.
“Combining our renewable development and operations expertise with access to large-scale gas transportation networks and infrastructure will further expand the scope of energy solutions we can deliver,” he added.
Williams’ energy infrastructure network handles 30% of the natural gas used for power generation, heating and industrial use in the US. Its nationwide footprint and infrastructure expertise allow it to link renewable hydrogen production sites to growing demand centres, it explained.
As a leading developer and owner-operator of renewable generation, Ørsted can provide the clean electricity that is essential to the production of renewable hydrogen and its derivatives, the developer added.
“Natural gas and our large-scale energy infrastructure network are ideal partners for facilitating the integration of renewables into the energy mix, while helping our customers move toward a low-carbon future,” said Chad Zamarin, senior vice president for corporate strategic development at Williams.