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22 May 2025

China Unveils First Demonstration Project for Million-Cubic-Meter Salt Cavern Hydrogen Storage

22 May 2025  by fuelcellsworks.   
On May 19, 2025, an awarding ceremony took place in Ye County, Henan Province, China, to celebrate the progress of a significant hydrogen storage initiative led by China Pingmei Shenma Group. The event recognized advancements in the salt cavern hydrogen storage demonstration project, which includes Asia’s first large-scale deep underground salt cavern designed for hydrogen storage, with a planned capacity of 1.5 million cubic meters.


Photo shows the early-stage drilling operation at a salt cavern hydrogen storage site.

A representative from China Pingmei Shenma Group stated: “Construction of the demonstration project, located in the company’s high-quality salt field, began in November 2024.” The project, situated in the salt field of the group’s United Salt Chemical Company, has completed key phases, including geological assessments, process design, and drilling operations. Efforts are now focused on cavity creation and operational testing to ensure the facility’s functionality.

Salt caverns are recognized for their superior sealing properties, substantial storage capacity, cost-effectiveness, and high safety standards, making them an ideal choice for large-scale hydrogen storage. This project aligns with global trends toward clean energy solutions, supporting the efficient storage of hydrogen as a low-carbon energy source.

China Pingmei Shenma Group manages a 6.62-square-kilometer salt field in Ye County, operating 13 sets of brine wells. The company has extracted over 20 million tonnes of salt, enabling the creation of more than one million cubic meters of storage volume annually. This extensive infrastructure supports the development of the hydrogen storage facility, leveraging the region’s abundant salt resources.

The initiative represents a significant step in advancing hydrogen energy technologies, contributing to sustainable energy development. By utilizing the unique advantages of salt caverns, the project aims to establish a model for large-scale hydrogen storage, with potential applications in energy transition efforts. The ongoing work in Ye County is expected to set a benchmark for future hydrogen storage projects in Asia and beyond.

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