Hy Stor reserves 1 GW of Nel electrolysers for Mississippi H2 hub

Hy Stor Energy LP has reserved more than 1 GW of Norwegian Nel ASA’s (OSE:NEL) electrolysers for its Mississippi Clean Hydrogen Hub (MCHH), set to create the largest zero-carbon, off-grid hydrogen production and salt cavern storage hub in the US.

The Norwegian hydrogen solutions provider said on Friday that it will be Hy Stor Energy’s exclusive electrolyser partner for phase one of the US project.

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The capacity reservation agreement covers the supply of alkaline electrolysers from Nel’s factory in Heroya, Norway. Nevertheless, it is not a firm arrangement and will be considered an order intake only when a purchase contract has been signed, the manufacturer noted.

Subject to a final investment decision, Nel expects to run electrode production at the Heroya site through 2025, 2026, and the first part of 2027.

Hy Stor’s hub in Mississippi will produce and store green hydrogen to serve business, industrial, transportation and utility sectors across the state, neighbouring states and the entire Eastern US. The company last month signed a Letter of Intent (LoI) to supply steelmaker SSAB with hydrogen from the site in a direct offtake partnership.

In 2022, Hy Stor Energy became the first pledge member in North America to commit to the global GH2 Green Hydrogen Standard and to pledge to produce the green molecule using 100% or near 100% renewable energy.