Energy exploration and production company Neptune Energy has inked a number of agreements to progress its plans to provide large-scale, low-cost blue hydrogen production in the UK.

Set to be located at the former Theddlethorpe Gas Terminal (TGT) in Lincolnshire, the proposed project, named DelpHYnus, would see a new plant, designed with carbon capture technology, built at the site to meet the power requirements to generate blue hydrogen.

Neptune announced earlier this week it has signed a deal with an unnamed organisation specialising in industrial gas generation for the development of the blue hydrogen plant.

Additionally, Neptune confirmed it has signed a Memorandum of Understanding (MoU) with industrial operations specialist PX Group, which will invest in and operate the power generation element of the plant at TGT.

There are plans for a carbon capture and storage (CCS) aspect to the project, with a new CO2 pipeline to be built from South Humber to TGT, in addition to an option for accommodating CO2 shipped from locations not served easily by pipelines.

The CCS solution could see realisation by as early as 2025, though, with an onshore planning process and an extended construction period, the blue hydrogen and power generation parts are scheduled to become available by 2027.

A further MoU was signed between Neptune and Carbon Collectors, a company which specialises in the collection, transport and storage of CO2 utilising marine solutions. These solutions could provide CO2 storage options for emitters from stranded UK areas.

To assist with conceptual engineering for the ’normally unmanned installation’, part of the DelpHYnus development, Neptune will work with engineering service company Worley. The subsea elements of the project, including manifold and CCS pipeline development, will be conducted by a specialist subsea engineering company.

A third, unnamed design engineering and project management consultancy has also been hired to provide costs, time estimates and planning processes for the onshore aspect of the scheme, including both plants and pipelines between TGT and South Humber industrial area.

The project itself has been supported by sustainable and affordable energy expert, Goal7, who have provided expert insight into the latest relevant development and technologies.

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