TotalEnergies and Air Products Forge Pact for Green Hydrogen Supply

TotalEnergies and Air Products have entered into a 15-year agreement to supply 70,000 tons of green hydrogen annually in Europe starting in 2030. This marks the first long-term contract following TotalEnergies’ tender to secure 500,000 tons of green hydrogen per year to decarbonize its European refineries.

Under the agreement, Air Products will supply green hydrogen directly to TotalEnergies’ Northern European refineries from its global supply network. This hydrogen will help avoid approximately 700,000 tons of CO2 emissions annually. The contract awarded to Air Products represents an initial step towards TotalEnergies' goal of reducing net greenhouse gas emissions from its oil and gas operations (Scope 1+2) by 40% by 2030 compared to 2015 levels.

As a global leader in hydrogen supply, Air Products has been a pioneer in the energy transition, committing over $15 billion to significant, large-scale projects. The company has initiated several major low-carbon hydrogen projects worldwide, solidifying its position as a leading and dependable supplier.

“This agreement with Air Products, the first since our call for tenders last year, is a crucial step towards our goal of decarbonizing the hydrogen used in TotalEnergies’ Northern European refineries by the end of the decade. We are proud to collaborate with Air Products, a leader in low-carbon hydrogen production under Seifi Ghasemi's leadership. This partnership reaffirms our commitment to pioneering the energy transition and supporting the development of a green hydrogen industry by securing long-term contracts with our six refineries and two biorefineries in Europe. Additionally, we are pleased to deepen our collaboration by supplying green power to Air Products, contributing to their decarbonization efforts,” said Patrick Pouyanné, Chairman and CEO of TotalEnergies.

“Today, a major global energy company has pledged to use renewable hydrogen to decarbonize its Northern European refineries, and we at Air Products are honored and proud to be the producers and suppliers of the required green hydrogen,” said Air Products’ Chairman, President, and CEO Seifi Ghasemi. Reflecting on Air Products' seven-year journey in producing clean hydrogen, Seifi Ghasemi added, “We always believed that if we made clean hydrogen available at a commercial scale, the demand would follow. This contract validates our long-term strategy. The demand is clearly here and will continue to grow significantly, playing a crucial role in decarbonizing heavy industry and other sectors. I also wish to convey my admiration for Mr. Patrick Pouyanné's vision and boldness in pioneering efforts to forge a cleaner future for our planet.”

At the same time, TotalEnergies and Air Products have entered into a memorandum of understanding for renewable power supply, which includes an initial Power Purchase Agreement (PPA) for 150 MW generated by a solar project in Texas. They also intend to investigate further PPA prospects in the UK, Poland, and France. This agreement, which deepens the partnership between TotalEnergies and Air Products, will support Air Products’ decarbonization efforts and aligns with TotalEnergies’ integrated electricity strategy across the value chain.

TotalEnergies is dedicated to lowering the carbon footprint associated with producing, converting, and supplying energy to its customers. To achieve this, the company plans to use green or low-carbon hydrogen to decarbonize its European refineries, a strategy expected to reduce its CO2 emissions by approximately five million tons annually by 2030.

To fully decarbonize the hydrogen used in its European refineries, the company issued a call for tenders in September 2023 to supply 500,000 tons of green hydrogen annually.