Pilot Energy commences key studies to assess the feasibility and economics of and recommend the pathway for developing a large-scale clean hydrogen production project using its existing oil and gas production operations.
Pilot will harness the world-class CCS and Renewable resources of the Mid West region of Western Australia.
The studies included the Mid-West Blue Hydrogen and Carbon Capture and Storage study (CCS and Blue H2 Study) focused on the Cliff Head Oil field, the Mid West Renewable Energy Study (Renewables Study), the 8 Rivers Blue Hydrogen Technology Study (8 Rivers Study) and the WA 481P CCS Study (WA 481P CCS Study).
The Renewables Study and the 8 Rivers Study have been completed. It is nearing completion of the CCS and Blue H2 Study, assessing the implementation of a CCS and Blue H2 project centred on the Cliff Head Oil Field, which is expected to be completed within the next several weeks.
Pilot holds a 21.25% interest in the Cliff Head Oil Field through its 50% ownership of Triangle Energy (Operations) Pty Ltd (the Cliff Head Oil Field operator). This CCS and Blue H2 Feasibility study is being jointly funded and contributed to by Pilot, APA Group and Warrego Energy.
Based on the completed studies, a recommended development pathway for the projects under consideration is outlined in three stages:
The first stage will focus on the development of a carbon capture and storage operation to provide CCS services to third parties and to support the subsequent production of blue hydrogen and clean gas-fired power.
The second stage will develop of a blue hydrogen generation project utilizing the 8 Rivers clean hydrogen technology (RH2) and clean power technology to produce 43k tonnes/year of blue hydrogen with near-zero emissions.
The third stage will be the integration into the Mid-West Blue Hydrogen Project of around 220 MW of renewable power generation from both wind and solar to produce a further 18k tonnes/year of green hydrogen.
Upon completion of the 3-stage development, the Studies confirm that it will produce around 61k tonnes/year of clean hydrogen to produce around 350k tonnes/year of clean ammonia to supply to Asian clean ammonia export markets.
Brad Lingo, Chairman of Pilot Energy, said, “We are very much focussed on engaging with NOPTA and the other relevant regulators to secure the necessary approvals to implement this project with an aim of having the first stage of the development pathway operational by 2025.”