Proteum Energy and Istmo Energy have revealed today (Dec 17) a new memorandum of understanding (MoU) that aims to produce low-carbon hydrogen for the production of ultra-low sulphur diesel and clean hydrogen.
In doing so, the Californian, Permian Basin and Mexican markets will be provided a huge boost to its hydrogen prospects with clean hydrogen entering each market from a new player.
Not only this but it highlights another aspect to why hydrogen is key for the energy transition now, in providing a way to decarbonise the automotive sector more.
By providing a diesel with lower sulphur emissions, it enhances the energy transition by providing a low-carbon solution until electrification and hydrogen fuel cell vehicles are popular.
By additionally supplying clean hydrogen to markets it presents the companies with an opportunity to grow the hydrogen infrastructure cementing themselves at the forefront of the US market.
Alex Gutierrez, Principal and co-founder of Istmo Energy, said, “Istmo Energy is pleased to have the option to leverage our onsite de-ethanisers to produce hydrogen from ethane for our hydrotreaters, while at the same time offer additional clean hydrogen sales in the Permian region.”