Decarbonisation Technology - November 2022

1. High capture rates are possible

Low Cl products

Carbon capture 95%

3. Ready for a renewable feedstock, for a negative carbon footprint

Renewable feedstock






Blue hydrogen



2. Ammonia optionality



Figure 5 Three key roles the SBHP can play in future-proofing industrial clusters

will develop a single, centralised hydrogen production unit that plugs into every facility. The SBHP is well suited to this application because the partial oxidation process on which it is based is proven at a large scale, which reduces the project risks when large quantities of hydrogen are needed. The feed flexibility of SBHP enables alternative feedstocks to be used, including waste gas generated by cluster partners. Additionally, high-pressure gas feeds can be leveraged to deliver high-pressure hydrogen and CO₂, reducing the compression costs for transportation. The SBHP technology offers high process efficiency at high carbon capture rates that reduce the amount of CO₂ emitted per unit molecule of hydrogen. It also enables emitters to capture more CO₂ at a lower cost. Future-proofing industrial clusters The SBHP can play three key roles in future- proofing blue hydrogen facilities (see Figure 5 ). First, it can help companies remain aligned with increasingly strict carbon capture regulations. Currently, while many projects already require 90% carbon capture rates, policymakers are expected to increase this requirement to 95% and potentially more in the near future. Indeed, most of the new projects that Shell has been seeing are mandating capture rates of at least 95%. Second, Shell’s technology provides the option for clusters to manufacture and export blue ammonia, thereby extending project life should the cluster switch to using green hydrogen. Third, the feed flexibility of the SBHP means that the natural gas feed can be gradually

replaced with a renewable feedstock such as biogas to create renewable (not green) hydrogen that is carbon negative. Blue hydrogen and beyond Shell is not just a technology provider and licensor, it is also a facility owner and operator with a commitment to reducing its impact on the climate, so it understands the challenges and concerns of plant owners and operators around the world. The hydrogen value chain is complex; however, Shell is well positioned to play a leading role not just in supplying technology but also in market and infrastructure development and establishing robust supply chains and distribution networks. Shell is currently involved in and evaluating many hydrogen opportunities, both blue and green. For example, the SBHP could play a critical role in the decarbonisation journey of Shell assets and those of our customers. A key part of this process is asking the right questions: what hydrogen capacity is needed; what is the quality of the feedstock; and does the facility need the flexibility to produce both hydrogen and ammonia to meet current and future market demands? It may be several decades before zero- carbon green hydrogen alone can meet demand. Nevertheless, Shell’s insights demonstrate that its blue hydrogen technology is ready to provide a cleaner and more cost- effective alternative to carbon-intensive grey hydrogen today.

Mario Graca


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