Phillips 66, Plug Power sign agreement to advance green hydrogen
Phillips 66 and Plug Power Inc. announced this week that the companies have signed a memorandum of understanding to collaborate on the development of low-carbon hydrogen business opportunities.
Phillips 66 owns extensive hydrogen-related infrastructure and uses hydrogen in the manufacturing of transportation fuels, while Plug Power is a leading provider of turnkey hydrogen solutions for the global green hydrogen economy, with customers like Amazon, Walmart and Home Depot. The New York-based company has begun construction on green hydrogen production facilities in California, New York, Tennessee and Georgia that will ultimately supply 500 tons per day of liquid green hydrogen by 2025.
Hydrogen is a low-emission energy carrier and fuel capable of powering transportation and heavy industry, including multiple processes within refining.
“We believe hydrogen is an important pathway for hard-to-electrify industries in a lower-carbon energy landscape,“ said Heath DePriest, Vice President of Phillips 66’s Emerging Energy group, which is focused on building lower-carbon business platforms. “Hydrogen is a key component of our diversified Emerging Energy portfolio strategy.”
As part of their agreement, the two companies will explore ways to deploy Plug Power’s technology within Phillips 66’s operations.
“We are excited to team up with Phillips 66 to take advantage of its rich history in the energy industry and forward momentum in the energy transition,” said David Bow, Executive Vice President of Electrolyzers Solutions at Plug Power. “Phillips 66 stands to help us meet our goal of producing 1,000 tons per day of green hydrogen while deploying cost-efficient solutions within the renewable fuels sector.”
The companies’ memorandum of understanding provides a framework for working together on three key objectives:
- integrating and scaling low-carbon hydrogen in the industrial sector;
- advancing hydrogen fueling opportunities for the mobility sector; and
- developing hydrogen-related infrastructure to support the build-out of the hydrogen value chain.