Chevron has acquired a majority stake in the world’s largest proposed storage facility for hydrogen from renewable energy.
U.S. majors Chevron and Exxon Mobil are rushing to lower production costs and bring scale to the technology as part of their lower carbon fuel strategy.
Chevron bought the stake in ACES Delta from private equity firm Haddington Ventures. The Delta, Utah, project last year received the first U.S. Department of Energy loan for clean energy in nearly a decade, of $504 million (€469 million).
ACES Delta is a joint venture between Mitsubishi Power Americas and Magnum Development.
Chevron wants to develop ‘a large-scale, hydrogen platform that provides affordable, reliable, ever-cleaner energy,’ says Austin Knight, vice president of hydrogen, Chevron New Energies.
The facility will use electrolysis powered by wind and solar to produce hydrogen, which will be stored and despatched from solution-mined salt caverns.
The first project for the acquisition, designed to convert and store up to 100 tonnes per day of hydrogen, is under construction and is expected to enter commercial-scale operations in mid-2025.
