Australian LNG producer Woodside and Korea Gas Corporation have signed a non-binding agreement to jointly study the technical and commercial feasibility of a green hydrogen pilot project.
The latest agreement builds on a memorandum of understanding signed by the two companies in mid-2018.
Since then Woodside and KOGAS have held a series of joint workshops investigating the potential of hydrogen as a fuel of the future, Woodside said in its statement.
The partners now plan to examine the feasibility of a green hydrogen project across the entire value chain, including production, storage, transportation and distribution.
The head of Australia’s LNG industry pioneer Peter Coleman said, “we are considering all options for managing and reducing emissions from our facilities, whether through changes in facility design or improving the efficiency of our operations.”
“As Woodside heads into a growth phase in northern Australia, we are looking to integrate renewable and gas-fired generation to power our facilities, with environmental and commercial benefits,” he said.
Coleman added that offsets would also play a role for Woodside, noting that the company set up an internal business to generate and acquire quality offsets, and is pursuing options including environmental planting, partnerships for savannah burning, and international opportunities.