Suncor Energy has partnered with utility firm ATCO to work on a project to produce more than 300,000 tonnes per year of clean hydrogen.
The proposed hydrogen production facility will be built at ATCO’s Heartland Energy Centre near Fort Saskatchewan, Alberta. It could be commissioned as early as 2028.
Suncor intends to build and operate the hydrogen production and CO₂ sequestration facilities as part of the proposed project. ATCO would build and operate associated pipeline and hydrogen storage facilities.
The project is expected to reduce CO₂ emissions by more than two million tonnes per year in Alberta, as well as generate substantial economic activity and jobs across the province.
Suncor president and CEO Mark Little said: “With abundant natural gas resources and geology that is well suited to the utilization and permanent storage of CO₂, Alberta is one of the best places in the world to produce clean hydrogen.
“Suncor’s 50 years of experience producing and using hydrogen in refining and upgrading operations combined with ATCO’s extensive midstream gas experience creates a winning partnership to reduce our companies’ emissions and establish Canada as a global leader in clean hydrogen.
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By GlobalData“Collaborating with industry partners and governments on these types of strategic projects will assist in decarbonising our base business.”
Using advanced technology, the hydrogen project is expected to capture more than 90% of the emissions generated in the hydrogen production process.
Suncor said that about 65% of the production from the project would be used by the Suncor Edmonton Refinery and approximately 20% will be sent to the Alberta natural gas grid to reduce emissions.
The partners are also planning to make hydrogen volumes available for Alberta’s other industrial, municipal and commercial transport users.
