Orsted and Williams have entered into a partnership to jointly explore the potential to develop Power-to-X projects in the US. To this end, the two companies have signed a memorandum of understanding to leverage each other’s assets and expertise to develop solutions to advance the clean energy economy. Orsted’s expertise in the renewable energy and hydrogen space and Williams’ natural gas infrastructure and processing experience will assist the partnership.
The companies will primarily explore the co-development of hydrogen and synthetic natural gas facilities based on renewable energy. The companies will also work together on large-scale wind energy, electrolysis, and synthetic gas-via-methanation co-development projects. The western Wyoming region has been identified for exploration as Williams owns a significant land area and natural gas infrastructure in the region.
Orsted has a sizable portfolio of renewable energy projects in the US. It develops, constructs, and operates offshore and onshore wind farms, solar farms, energy storage facilities, and bioenergy plants. Oklahoma based Williams conducts operations across the natural gas value chain. It owns and operates over 30,000 miles of pipelines system-wide, including Transco, the largest volume and fastest growing pipeline in the US. The company also handles roughly 30 per cent of the natural gas in the US.
REGlobal’s Views: Many oil and gas majors are now venturing into the clean energy space especially in the hydrogen and renewable gas sector. Their vast experience and ready pipeline infrastructure makes them suitably placed to invest heavily in this space.
