US-based power company AES Corporation and chemical firm Air Products have partnered to build a green hydrogen production plant in Wilbarger County, Texas.
The renewable-power-to-hydrogen project includes around 1.4GW of wind and solar power capacity and will require an investment of nearly $4bn.
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It will also have an electrolyser capable of generating more than 200t of green hydrogen a day, the companies said.
AES and Air Products will jointly and equally own the renewable energy and electrolyser assets.
Under a 30-year contract, Air Products will act as exclusive off-taker and marketer of the green hydrogen produced at the facility.
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AES president and CEO Andrés Gluski said: “We are very pleased to partner with the world leader in hydrogen, Air Products, for this first-of-its-kind mega-scale green hydrogen facility in the United States.
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By GlobalData“We will build more than 1GW of new solar and wind facilities to provide zero carbon energy for electrolysis and related production facilities.
“AES believes that green hydrogen has a key role to play in decarbonising transportation and accelerating the future of energy.”
The facility is due to begin commercial operations in 2027 and is expected to create more than 1,300 construction jobs and 115 permanent operations roles.
Air Products chairman, president and CEO Seifi Ghasemi said: “We are very pleased to announce this exciting joint venture with AES, which is one of the leading renewable energy companies in America.
“The new facility in Texas will be, by far, the largest mega-scale clean hydrogen production facility in the US to use wind and sun as energy sources.
“We have been working on the development of this project with AES for many years and it will be competitive on a world scale while bringing significant tax, job and energy security benefits to Texas.”
Earlier this year, AES signed power purchase agreements to deliver clean energy to Amazon’s data centres in California.
