Hydrogen: Another fuel of the future?

Hydrogen: anot her fuel of t he fut ure?

With the constant goal of reducing carbon emissions in mind, could switching to hydrogen as a fuel provide the answer? By Adrian Giddings

The promise of “unlimited clean energy” that hydrogen fusion reactors may provide continues to be the tantalising 25 years away that it has been for over 70 years; however, hydrogen as a source of energy isn’t just the stuff of as yet unfulfilled scientific endeavours and science fiction futures.

Hydrogen for power in the near term

In 2017, Gasunie, Equinor and Vattenfall signed a memorandum of understanding (MoU) to evaluate the conversion of Vattenfall’s Magnum power plant in Eemshaven, the Netherlands, to run on 100% hydrogen for a potential CO 2 emission reduction of four mt per year, equivalent to taking two million cars off the road.

The work on the Carbon Free Gas Power project includes a feasibility study which will look at converting one of the three 440 MW combinedcycle gas turbines at the plant to run on hydrogen and also the storage and transportation infrastructure required for the endeavour.

Equinor is focusing on the production of hydrogen from natural gas from the Norwegian Continental Shelf and underground storage of the produced CO 2 . Gasunie is researching the transportation and storage of the hydrogen at the power plant.

While the technology for producing hydrogen by converting natural gas to hydrogen and CO 2 is well established, the large-scale value chain required for a project such as this, which includes the need for CO 2 capture, use and storage (CCUS), is a different story. It is hoped that through projects such as this, bringing additional markets into play in the energy system, the high costs of CCUS can be lowered through economies of scale.

In 2018, Mitsubishi Hitachi Power Systems announced they were joining the project. The company manufactures the turbines used by the power plant and bring their expertise in developing special fuels for gas turbines to bear, investigating the technical feasibility of using pure hydrogen as fuel.

Vattenfall’s Magnum power plant where the Carbon Free Gas Power project will investigate conversion to hydrogen fuel.

Greening industry

Another hydrogen power project involving Vattenfall aims to reduce

the carbon footprint of energy intensive industrial processes.

The company, along with joint venture partners SSAB and LKAB, initiated a project called HYBRIT in 2016 with the goal of replacing coking coal with hydrogen in the ore-based steel making process. With the steel industry accounting for 7% of global CO 2 emissions the development of fossil-free processes would be a major step towards meeting climate targets.

The pre-feasibility study was completed in 2017 and, while it was found that switching to hydrogen would increase costs by 20-30% at today’s energy prices, decreasing electricity prices from fossil-free sources coupled with the increasing cost of CO 2 emissions under the EU Emissions Trading System should lead the process to be cost competitive in future. This was sufficient to green light the next phase of the project.

A pilot plant began construction in 2018 at a cost of SEK 1.4 billion ($151 million). The Swedish Energy Agency is contributing SEK 500 million to the pilot phase with the remaining costs being contributed by the three project partners. The Swedish Energy Agency had previously contributed SEK 60 million to the pre-feasibility study and a fouryear research project. The pilot stage is planned to run until 2024 with a demonstration phase to follow for the subsequent decade.

Power-to-gas

As this magazine has previously covered, in a paper presented by IGU’s R&D and Innovation committee (International Gas, April - September 2016), power-to-gas plants can be used in situations where excess electricity generation, from inherently intermittent renewable sources, is surplus to requirements for the electricity grid. This process can aid the stability of the electricity grid as the flow of electricity to the power-to-gas system can be varied to balance loading. This excess electricity is used to split water via electrolysis into hydrogen and oxygen, with the hydrogen either available to use as fuel or injected into the natural gas grid either directly or after conversion to synthetic natural gas or biomethane.

Hydrogen for transportation

While we have covered developments in hydrogen fuel-cell road vehicles in the pages of International Gas for many years, they have, as yet, only found limited markets around the world with

v Thüga Group’s power-to-gas plant in Frankfurt am Main, Germany became the first plant to inject electrolytic-generated hydrogen into the German gas distribution network in 2013. fleets, according to IEA, only having reached 8,000 units in April 2018, mainly in California, where a Zero Emission Vehicle Programme has spurred sales, and in Japan. Power-togas plants are an excellent solution for this nascent market and solve a significant problem in the uptake of vehicles: being able to refuel them in the first place. With the ability to generate hydrogen on-site, transporting fuel to the refilling station is also no longer necessary. With the greater availability of refuelling stations, and many ambitious government plans to spur on uptake on the roads it is hoped that hydrogen vehicles will increasingly aid the reduction of pollution on the world’s roads, especially in urban areas.

Hydrogen on rails

With a legacy dating back to the age of steam, two-thirds of the world’s rail network remains unelectrified, relying on diesel-powered locomotives to provide passenger and freight services.

Rail electrification is an ongoing process around the world and while

three-quarters of passenger journeys (up from 60% at the turn of the century) and 48% of freight tonnekilometres take place on electrified tracks, the cost of upgrading lines – an estimated $1.1 million per kilometre – can be prohibitive and the economic case for doing so therefore hard to make in many circumstances.

However, all is not lost in the drive to provide cleaner transportation in these cases, with the answer being found in the form of hydrogenpowered trains.

First demonstrated in 2002 for a mining company in Quebec, Canada, hydrogen as a fuel for the rail transportation sector hit the headlines most recently in September 2018 when Alstom, the French train manufacturer, introduced the world’s first hydrogenpowered passenger train into service.

Announced almost exactly two years earlier at InnoTrans 2016 in Berlin, the company’s Coradia iLint train was designed by teams in both France and Germany and drew support from the German Ministry of Economic Affairs and Energy, with the German government providing €8 million ($9 million) in funding via its National Innovation Programme for Hydrogen and Fuel Cell Technology.

Boasting quieter running due to its electric power system and, most importantly, zero-carbon and particulate emission journeys, the Coradia iLint is positioned as a direct replacement for diesel-powered rolling stock on unelectrified lines. Capable of reaching speeds of 140 km/h, the trains can run for an entire day on one tank of hydrogen, providing a range of up to 1,000 km.

Hydrogen from onboard tanks is combined with atmospheric oxygen in the train’s fuel cell to generate electricity and the only exhaust products are condensed water and steam. High performance lithium-ion batteries are

Standalone power-to-gas hydrogen refuelling stations increase the ease of creating a network. also used, storing excess energy produced by the fuel cell along with kinetic energy produced during braking. This increases efficiency and lowers fuel consumption, with the battery power being drawn upon and replenished during different phases of the train’s operation. When the batteries are full the fuel cells can be almost completely powered down using an intelligent power management system onboard the train, saving hydrogen.

Initially, two of the trains are serving on the 100 km line running between Cuxhaven, Bremerhaven, Bremervörde and Buxtehude in Lower Saxony for EVB (Eisenbahnen und Verkehrsbetriebe Elbe-Weser), supplanting older diesel trains. Linde Group is supplying the hydrogen via a mobile filling station at Bremervörde station. A stationary filling station on EVB premises, and a further 14 of the trains, are scheduled to enter service in 2021.

There is also interest in hydrogen for rail transportation from other countries, including Canada, Denmark, Italy, the Netherlands and Norway. The French government wants to see its first hydrogen train on the rails by 2022 with the President of the Occitanie region, Carole Delga announcing a proposal for their introduction.

In the UK, Alstom is partnering with Eversholt Rail to convert existing Class 321 trains to run on hydrogen. Codenamed “Breeze” the train design has been finalised and engineering studies are complete. The two com

The development of Alstom’s Coradia iLint trains attracted German government funding.

panies are working on business cases and introductory plans for the trains and the necessary fuelling infrastructure which could see the units seeing service on the British rail network by 2022. An added benefit of conversion to hydrogen power is increased passenger capacity over the current stock they are designed to replace.

Hydrogen on the high seas

With stringent national and international rules on emissions either in force or due to take effect in the coming decade, moves to develop ever-cleaner maritime operations are driven by both environmental and economic concerns, as whole regions of the world’s seas and oceans become closed to vessels running on older, dirtier fuels. Hydrogen, with its zero operating emissions, is actively being pursued as a solution.

Hydrogen fuel cells have been used at sea for some time in an ancillary capacity, with the Canadian Navy utilising them in their submarines since 1993. Royal Caribbean began testing

LNG CENTER OF EXCELLENCE We Provide Services for LNG Business

TRAINING

1

Training Tailored to Your Need

Real LNG plant and state of the art Operator Training Simulator

COMMISSIONING

2

OPERATION & MAINTENANCE

3

Commissioning & Start Up Assistance

Experienced personnel ensures smooth and safe LNG plant startup

LNG Plant Operation & Maintenance

Experienced personnel ensures smooth and safe LNG plant startup

FROM INDONESIA TO THE WORLD

BADAK LNG CENTER OF EXCELLENCE

Ÿ Ÿ Ÿ Ÿ Ÿ Ÿ Ÿ Ÿ Ÿ Ÿ Ÿ Ÿ Ÿ

BADAK LNG BENCHMARKING

Losses Lowest Plant Losses

st 1 Maintenance Cost

Lowest Maintenance Cost

st 1 Reliability

Highest Plant Reliability (99.7 %)

st 1 Safety Health & Environment

Reported zero Lost Time Injuries (LTIs) since 2006

Benchmarked by worldwide reputable assessor in 2017 among eighteen (18) LNG companies representing around 80% of the world LNG production LNG companies representing around 80% of the world LNG production

LNG & HYDROCARBON FIRE FIGHTING TRAINING HSE Policy Ÿ Water Hydraulic ONE OF OUR RECOGNIZED TRAINING PROGRAM Hazardous Material Response Ÿ Confined Space & Tower Physical Exercise Rescue Leadership and Teamwork Ÿ First Aid Fire Theory Ÿ Tactic and Strategy Extinguishing Media Ÿ Gas Testing Portable Fire Extinguisher Ÿ Pre Fire Planning Fire Equipment Ÿ Emergency Communication Hose Drill & Jet Effect Ÿ Emergency Control Plan Hydrocarbon Fire Fighting Ÿ Fire Pump Aircraft Rescue Ÿ Fire Truck Breathing Apparatus Ÿ Fire Protection & Detection LNG Fire Fighting Ÿ Plant Safety

OUR ACHIEVEMENT

More Than

1

2

43 YEARS of experience in LNG plant operation and maintenance

> 9300 LNG Cargos Shipped

up to December 2018. The most shipment of LNG in the world.

The current Shapinsay ferry. HySeas III will combine with the Surf N Turf hydrogen project to provide the replacement vessel with a hydrogen fuelling facility.

fuel cells in 2017 on one of their Ocean-class ships with larger tests planned for their diesel-electric powered Quantum-class vessels. The company has announced that fuel cells will provide power for hotel functions aboard their two newest LNG-powered Icon-class cruise liners being built by Meyer Turku and scheduled for launch in 2022 and 2024. This will be the first time that the technology is used on a cruise ship and will aid in reducing emissions still further.

Viking Cruises is also looking at the technology but with a view to using hydrogen for main power. The plans are for a liner carrying over 900 passengers and 500 crew and based on the design of their current seagoing vessels. The long-term project involves a number of logistical and regulatory hurdles to be overcome, but would be a cruise industry first if it comes to fruition.

Small scale hydrogen-fuelled and hybrid vessels are already plying waterways around the world but the race is on to launch the first commercial ship to use fuel cells for propulsion. The likely winner will be the Water-GoRound, a 21-metre catamaran with a capacity of 84 passengers which is slated for launch in September 2019. Powered by 360 kW fuel cells the ferry will operate in the San Francisco Bay. Golden Gate Zero Emission Marine and its partners see the project as demonstration to the commercial and regulatory communities and the public at large of the suitability of hydrogen technology for maritime use. Performance will be independently measured by Sandia National Laboratories with the data used by the California Air Resources Board (CARB) to assess the technology for wider marine use. CARB awarded the project a $3 million grant in June 2018.

There are several hydrogen powered ferry projects in various stages of development in Europe, one such being HySeas III jointly led by Ferguson Marine and the University of St Andrews in Scotland. HySeas III is expected to be the world’s first zeroemission sea-going car and passenger ferry powered by hydrogen fuel cells. The project was awarded €9.3 million ($10.5 million) by the EU’s Horizon 2020 research and innovation fund out of the projected budget of €12.6 million ($14.25 million).

The vessel is being designed to operate around the Orkney Islands in Scotland using renewably-sourced hydrogen. The islands already produce hydrogen in volume from renewable power which would otherwise go to waste. The project’s initial goal is the onshore construction and evaluation of a modular drive train for the vessel. If all goes to plan the completed ferry should be launched in 2020. The fuel cells used for the project for the project will come from Ballard Power Systems Europe, one of the industry leaders in heavy duty fuel cell manufacture.

The challenges of scale for fuel cell adoption at sea

For ships the size of the previously mentioned Viking cruise liner, fuel cells will have to be scaled up from pro

ducing kilowatts to megawatts of power. While this has been done for land-based installations, it will be a new development for the seas. Ballard Power Systems is again involved in this effort, having signed an MoU in June 2018 with ABB, a technology leader in power and electrification, to develop a new generation of proton exchange membrane (PEM) fuel cells for marine power. The new system being designed will have a generating capacity of 3 MW and will be no larger than a marine engine running on fossil fuels. Fuel cells for passenger vessels will be the focus of the early stage of the project.

In a separate development, ABB is working with SINTEF Ocean to test fuel cells for main propulsion. The test will use two 30 kW fuel cells to model a megawatt system that would be required for a large vessel. Again PEM fuel cells are being used for the project as they operate at lower temperature and are also both lighter and smaller than solid oxide fuel cells. Combinations of diesel, fuel cell and battery power will be explored as will the integration, control and safety of fuel cells in a marine context. Identifying as yet unknown issues with fuel cell use at sea is an important part of the laboratory exploration, as are the best ways to optimise the reliability and efficiency of fuel cell use in tandem with energy storage. The research will also focus on the requirements for hydrogen bunkering infrastructure, which will be a vital part of future uptake of the technology.

Testing during the ABB/SINTEF project will take place at SINTEF’s Ocean Basin Laboratory in Trondheim, Norway.

A final word should also be given to the importance of regulation in the sector. DNV GL published the first rules for marine hydrogen fuel cells in January 2018 that, among other things, provide requirements to ensure safe operation. They cover all aspects of an installation from fuel supply to exhaust systems. The rules note that as there are not yet international conventions on the use of fuel cells additional acceptance will be needed from flag authorities.

Which comes first?

As we have seen with other similar new technologies, success can only be achieved if all the actors involved can work together, from those fostering public acceptance and demand for the technology, to the regulatory and statutory work of governments and international organisations, to research and development work of industry and the installation of the necessary infrastructure. If all of these strands come together then hydrogen technology has great promise to drive a low carbon future, especially when the fuel is generated from renewable resources. The global natural gas community, with its extensive knowledge of the field especially relating to low temperature and high pressure systems, is uniquely positioned to lead this effort.

Adrian Giddings is a Contributing Editor at International Systems & Communications Ltd.

Why gas is essential to the energy revolution

Today, there is a broad consensus on the fact that it is both desirable and achievable to make the energy system largely renewable by 2050. But how can we minimise the economic and social impact of the energy transition? How can we prevent existing infrastructures from becoming stranded assets for local governments and managers at a significant cost to all of us? How can we overcome or mitigate the intermittent nature of renewable energy sources?

There are several arguments suggesting that gas will be the keystone to the energy revolution. Today, gas is the best complement to intermittent renewable energy and the best substitute for polluting energy; and tomorrow, once we have the technology and have made it affordable, green gas will be a necessary prerequisite to a 100% renewable energy system.

Let us first consider the scenarios developed by international experts, including those by the EIA, to keep global warming below 2°C: they all heavily rely on natural gas to quickly decarbonise the energy system. Firstly, gas should replace coal in electricity production. Secondly, it should play a major role in decarbonising the transportation sector, responsible for a quarter of global CO 2 emissions, while supporting the growing integration of renewable energy sources, most of them intermittent, into the energy system.

It is certainly possible to imagine a system that is 100% renewable and electrical, based entirely on variable renewable energy sources like wind or solar. But in that case, the only way to cover consumption requirements at any time of the day would be to invest massively in expensive, gigantic storage solutions, excess production capacity, new transmission lines and so on.

Conversely, continuing to use natural gas would maintain the balance of the electrical system at no additional cost to the population as a whole. In France, for example, the infrastructure is already built and can serve as a fully controllable underground hub not only to supply customers directly but also to quickly launch combined cycle power plants that produce electricity directly with a high output, thus providing a secure solution for peaks in electrical consumption.

Gas is the solution to achieve a 100%-renewable scenario. It is already somewhat green today, and it could become fully green – with zero CO 2

emissions – by the 2050s. Beyond its role in stabilising the system, gas also opens the door to an energy configuration that works according to the principles of a circular economy.

Consider the example of biomethane. It starts with some waste (from agriculture, industry, households, food processing, etc.) which is a burden on the environment and generates a cost to those responsible for processing it. By allowing that waste to decompose in an anaerobic enclosure, we can produce renewable energy, namely biogas. That biogas can then be purified into biomethane, more commonly known as “green gas”, and injected into the gas network or used to supply the power system with heat, electricity or fuel.

The example of hydrogen also RÉFÉRENCES COULEUR ENGIE logotype_solid_BLUE_PANTONE 14/04/2015 demonstrates how a problem can be 24, rue Salomon de Rothschild - 92288 Suresnes - FRANCE Tél. : +33 (0)1 57 32 87 00 / Fax : +33 (0)1 57 32 87 87 Web : www.carrenoir.com PANTONE PROCESS CYAN C

made into an opportunity. Rather than losing surpluses, it is possible to convert the power produced into hydrogen via electrolysis of water and then use it for a variety of purposes: energy storage, mobility, electricity generation, industrial inputs or injection into the gas network.

This way of managing production surpluses from renewable energy could be implemented across an entire region. For example, the ENGIE Group and its independent subsidiary GRDF are involved in an experiment along these lines in the Dunkirk region, in France. The GRHYD project is designed to transform the surplus electricity generated by renewable sources into hydrogen, which can then be either injected into the natural gas transmission network or used to fuel a fleet of local buses.

On a large scale, hydrogen even offers a solution to the intermittence problem of renewable energy sources by allowing for a fluid, coordinated interchange between the gas and electrical systems. Power-to-Gas is currently the best massive storage solution for surplus energy production. With these solutions, surpluses of renewable electricity can be stored for long periods (Power-to-Gas followed by underground storage), and then be converted back into electricity (Gas-toPower) during times of peak demand.

That is why gas is essential to the energy transition today and why, once it has become 100% green by the 2050s, it will be a mainstay in the renewable energy mix and circular economy of the future.

LNG2019

This special section sets the scene for LNG2019, which will be held in Shanghai, April 1-5. We start with an overview of the LNG industry which IGU’s latest World LNG Report shows to be growing strongly. Then IGU’s affiliated organisation NGV Global looks at the increasing use of LNG as a transportation fuel. We round up with an overview of developments in the LNG shipping sector.

US LNG: Rapid growth meets long-term stability

Chang ing the in dus

tr y

At Cheniere, we believe it’s a revolutionary time for the global energy industry as it thrives to drive economic growth across the world by offering affordable energy in a sustainable manner. It’s an exciting time particularly for American energy with LNG from the US taking a leadership role and positively changing the global gas market.

The natural gas and LNG industries play a key role in helping empower societies—supporting regional economies and communities by providing clean, secure and affordable energy. Natural gas and LNG are helping to reduce environmental impacts by displacing fossil fuels that are more carbon-intensive and produce higher levels of traditional air pollution and mercury. In addition to helping improve air quality, cleanerburning natural gas is complementary with renewables, playing a critical role in providing flexible generation to balance the intermittency of renewables.

Long -term suppl

ies, l ed by tec hn ol og y

In a marked change from just a decade ago, the US is now a global energy supplier, and the abundance of natural gas available in the country is one of the leading drivers behind this historical change. The US is the largest single gas market worldwide at around 820 bcm in 2018. Gas is bought and sold across states as a commodity at many different locations, supported by the country’s extensive pipeline network and deregulated wellhead prices.

Another key driver allowing the US to become a global energy supplier is the continued evolution of natural gas production. Most recently, the industry has improved its efficiencies due partly to larger wells, with average initial production rates more than tripling since 2009; to longer laterals, with average horizontal feet drilled in the Marcellus doubling since 2009; and to multistage fracking, with producers increasing the number of stages used in the hydraulic fracturing process. Looking forward, technological innovation will continue to play a key role in the US energy landscape, as the industry looks to further reduce costs and increase efficiencies.

Lea ding

US LNG

US LNG is an attractive affordable alternative for consumers, with flexible capacity ramping up to meet the growing global LNG demand. From Cheniere’s perspective, we believe that commercial innovation is becoming ever more critical in the industry in order to match an evolving and diversifying set of buyer requirements.

As the US LNG leader, our projects offer innovative features such as destination-flexibility, which allows buyers to better manage the uncertainty of their marketplace and respond to changing market conditions. Additionally, Henry Hub-based pricing allows diversification away from oil-indexation and upstream gas procurement services ensure buyers cost effective access to US gas supplies. We are a full-service provider with one of the largest liquefaction platforms in the world, consisting of the Sabine Pass and Corpus Christi liquefaction facilities along the US Gulf Coast, with expected aggregate nominal production capacity of 36 mtpa of LNG operating or under construction.

A gr owing pla tform m eeting

gr owing deman

d

Just three years ago, in 2016, Cheniere became the first company to ship LNG from the contiguous US in over 50 years, from our Sabine Pass liquefaction facility. A couple of years later, in December 2018, the first cargo from our Corpus Christi liquefaction facility loaded and departed. In that time, 500 cargoes of US LNG have departed Sabine Pass, landing in 30 countries and regions worldwide.

Our Corpus Christi facility isn’t just our second export facility, it’s the first greenfield LNG facility constructed in the contiguous US, and the single largest private investment in the history of the state of Texas. In a state known for big things, that’s saying something.

And we’re not done growing, because global demand isn’t done growing either. This year we continue to execute on our growth strategy and we are looking forward to placing Sabine Pass train 5 and Corpus Christi trains 1 and 2 into service safely, ahead of schedule, and within budget, just as we have done with all four trains at Sabine Pass. Our strategy is to continue adding incremental LNG capacity with our proposed Corpus Christi Stage 3 expansion project, in addition to our land position at both facilities which will enable significant LNG capacity expansion opportunities.

Supp or ting Gl obal Consum

ers

At Cheniere, we believe the LNG industry plays an important role in supporting economies and communities across the planet by providing clean, secure, and affordable energy. We are well-positioned to play a key role in the future of energy and contribute to the world’s ever growing energy needs.