ExxonMobil, Air Liquide partner on Baytown hydrogen project

June 24, 2024
ExxonMobil has partnered with Air Liquide to support production of hydrogen and ammonia at its complex in Baytown, Tex.

ExxonMobil Corp. has partnered with Air Liquide to support production of hydrogen and ammonia at its 561,000-b/d integrated refining and petrochemical complex in Baytown, Tex.

The agreement will enable transportation of low-carbon hydrogen through Air Liquide’s existing pipeline network. Additionally, Air Liquide plans to invest up to $850 million to build, own, and operate four large modular air (LMA) separation units as well as related infrastructure to supply 9,000 tonnes/day of oxygen and up to 6,500 tonnes/day of nitrogen to the plant as part of the framework of the long-term binding agreement. The LMAs will primarily use low-carbon electricity to reduce the project’s carbon footprint, ExxonMobil said in a release June 24.

For Air Liquide, the deal is set to increase its oxygen production capacity by 50% in Texas, the company said in a separate release. In addition to primarily serving ExxonMobil with oxygen and nitrogen, the move would also supply "significant" volumes of argon and rare gases such as krypton and xenon for other Air Liquide customers in the market, the company continued.

If completed, ExxonMobil's planned hydrogen production plant could potentially produce 1 bcfd of low-carbon hydrogen and more than 1 million tonnes/year of ammonia while capturing more than 98% of the associated CO2 emissions, the company said.

The operator unveiled its plans to decarbonize certain segments of the Baytown complex in March 2022, including the addition of a hydrogen production plant and carbon capture and storage (CCS) project. Partial funding could come from the federal government as part of the Bipartisan Infrastructure Law and Inflation Reduction Act (OGJ Online, Mar. 3, 2022; Mar. 26, 2024).

A final investment decision is subject to supportive government policy, necessary regulatory permits and market conditions, ExxonMobil said.

About the Author

Mikaila Adams | Managing Editor - News

Mikaila Adams has 20 years of experience as an editor, most of which has been centered on the oil and gas industry. She enjoyed 12 years focused on the business/finance side of the industry as an editor for Oil & Gas Journal's sister publication, Oil & Gas Financial Journal (OGFJ). After OGFJ ceased publication in 2017, she joined Oil & Gas Journal and was named Managing Editor - News in 2019. She holds a degree from Texas Tech University.