TC Energy, Nikola to build North American hydrogen production network

TC Energy Corp. and Nikola Corp. have agreed to codevelop, build, operate, and own large-scale hydrogen production hubs in the US and Canada. Nikola’s energy business unit and TC Energy are collaborating to identify and develop projects to establish infrastructure required to deliver low-cost and low-carbon hydrogen at scale in line with each company’s core objectives. Nikola and TC Energy also seek to accelerate adoption of heavy-duty zero-emission fuel cell electric vehicles (FCEVs) and hydrogen across industrial sectors by establishing the hubs in key geographic locations.

The hubs would produce 150 tonnes/day or more of hydrogen near highly traveled truck corridors to serve Nikola’s planned need for hydrogen to fuel its Class 8 FCEVs within the next 5 years. TC Energy’s pipeline, storage, and power assets could potentially be leveraged to lower the cost and increase the speed of delivery of these hydrogen production hubs. This may include the integration of midstream assets to enable hydrogen distribution and storage via pipeline and to deliver CO₂ to permanent sequestration sites to decarbonize the hydrogen production process.

INEOS Group, Repsol SA, Chevron Corp., and bp PLC are among the other major oil and gas companies to launch initiatives this month and last focused on producing hydrogen.