City leaders in Ardmore have been told a proposed hydrogen plant by Australian-based Woodside Energy might not happen this year, maybe not next year and maybe never. It might also result in the city of Ardmore losing millions of dollars in preparation for the plant.
The same week the company reached a final investment decision to develop a $17.5 billion LNG project, pipeline and management reserve in Louisiana, Ardmore leaders were told there would not be a final investment decision about a possible hydrogen plant. The company did not provide a new date in a call with Ardmore Development Authority and Ardmore city leaders.
The Ardmoreite reported it had been in communication with Woodside Corporate Affairs Principal Sasha Brown after the recent first quarter financial results for the firm were released.
“With the acquisition of Beaumont New Ammonia, plans for Woodside’s H2OK project are being reassessed.”
The Ardmoreite reported a decision might be made in 30 to 60 days.
It was four years ago when Woodside’s intentions were announced with flourish by Oklahoma leaders. The Commerce Department said Woodside was going to expand its portfolio of hydrogen production opportunities by securing land in Ardmore for future development of a modular hydrogen facility and entering a memorandum of understanding with Hyzon Motors.
The state’s announcement explained Woodside had secured a lease and opotion to purchase 94 acres from the Ardmore Development Authority for the proposed H2OK project which was meant to be a green hydrogen production facility. The project, per the Commerce Department announcement, said a final investment decision was expected in the second half of 2022 and first liquid hydrogen production in 2025.
Kenneth E. Wagner, then the Oklahoma Secretary of Energy & Environment stated, “The Woodside Hydrogen Project demonstrates Oklahoma’s continuous leadership as energy pioneers with the state’s constant search and devotion to new technologies and the development of new energy production like hydrogen, which lowers carbon emissions and makes the world a better place. Oklahoma’s formula for success is leveraging the state’s strong natural resources and human capital to create a diverse mix of fuel sources that work together to create the cleanest and most affordable energy in the United States.”
Ardmore wasn’t the only entity to feel the setback. Oklahoma Gas and Electric was also involved in the deal with Woodside as Sean Trauschke, Chairman, President and CEO of OGE Energy Corp. explained in 2021.
“Partnering with Ardmore Development Authority and Commerce to bring H2OK and Woodside Energy to Ardmore is an example of Oklahoma’s forward-thinking to develop the US hydrogen market,” he said.
“OG&E’s history in pioneering diverse power generation including renewables like wind and solar in our region make this partnership a win for our company, Woodside, Ardmore and the state. This announcement highlights our company’s ability to serve energy and capital-intensive projects while maintaining focus on reliability, resiliency and affordable electric rates, all of which played important roles in attracting this project to the state and the OG&E service area.”
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