Inpex Corp., Japan’s largest oil and gas exploration and production company, and Green Hydrogen International (GHI), the world leader in green hydrogen developments, have signed a Joint Study Agreement to advance GHI’s flagship Hydrogen City production hub in South Texas with the aim of producing green hydrogen and green ammonia to meet growing Asian and global market demand.
GHI’s low-cost model of producing green hydrogen utilizing salt cavern storage and behind-the-meter renewable power aims to solve the cost and scale challenges of green hydrogen production. With INPEX’s expertise in developing large scale energy projects around the world and extensive experience marketing LNG to international customers, the companies’ partnership aims to develop one of the world’s largest production and export hubs with the most cost-competitive green hydrogen in the world.
Phase 1 of the Hydrogen City project is planned to produce 280,000 tons per year of green hydrogen, which will be used to produce 1 million tons per year of green ammonia for export. Additional volumes of green hydrogen will be available for local customers. The project will be powered by 3.75GW of behind-the-meter renewable energy and utilize large scale salt storage to balance out the daily and seasonal intermittency of renewable energy. Construction is planned to start in 2026 with commercial operation planned for 2029. The partners plan to expand the project with additional phases as customer demand grows.