$2.5 hydrogen power JV on hold
Delays with pricing and scheduling hold up BP-Masdar JV
A $2.5 billion hydrogen power joint venture by BP and an Abu Dhabi firm is being held up by delays on winning approvals for pricing and scheduling of a carbon capture and storage project, Reuters has reported.
Abu Dhabi-based Masdar said in January that its hydrogen power venture with BP would be delayed, without giving reasons other than it was waiting for government approvals, the news service has said.
According to Reuters, a bond prospectus from Masdar’s parent company Mubadala revealed that the project is expected to cost $2.5 billion, but would be put on hold until Masdar could contain further certainty of pricing and scheduling.
The project is expected to produce and sell around 2,000 gigawatt hours of power per year to Abu Dhabi Water and Electric Company, and 1.7 million tonnes of CO2 per year to the Abu Dhabi Company for Onshore Oil Operations. Capturing 800,000 tonnes of CO2 per year from an Emirates Steel Industries plant in Abu Dhabi, the project will see it transported through a pipeline network for injection into Abu Dhabi’s reservoirs for enhanced oil recovery.