Hy2gen USA, the U.S. subsidiary of German-based green hydrogen producer Hy2gen, and Ocean Connect Energy (OCE) have signed a memorandum of understanding (MoU) to jointly investigate the potential to power renewable hydrogen production from offshore wind.
The MoU formalizes a collaboration between the two companies to identify, evaluate, and develop favorable locations to power Hy2gen’s renewable hydrogen and e-fuel production from the gigawatt-scale offshore wind energy generation that OCE develops in the United States and worldwide.
Hy2gen and wind energy experts OCE have formed a 10-month working group to identify and mature high-capacity offshore wind energy areas where project development may be held back by constrained grid transmission, low electricity demand, or other factors.
"Where green hydrogen production can be built near the point of interconnect from offshore wind energy generation, we have the potential to create predictable and lasting demand for the energy. This makes the need for new grid transmission less urgent and the need for infrastructure investment less substantial, while accelerating wind energy project execution," said David White, president of Hy2gen USA.
The research is part of Hy2gen’s strategy embracing the clean hydrogen regulatory framework established by the 2022 Inflation Reduction Act and subsequent guidelines anticipated from U.S. Dept. of Treasury.
With its global team and decades of experience, OCE is committed to leading projects through all phases of development and into operation. Fundamentally, this includes considerations for offtake early in the process. Hy2gen and OCE said they will look to establish the supply-demand relationship to provide the reliability and confidence both parties seek to move development forward.