New river terminal announced as part of region’s burgeoning hydrogen industry
Plans have been unveiled for a major import terminal on the River Mersey linked to the development of the region’s burgeoning hydrogen industry.
Stanlow Terminals, which is owned by oil refinery operator Essar Oil UK, is to develop a major new facility for green ammonia at its existing Tranmere terminal.
It will provide the connecting infrastructure to enable significant volumes of green ammonia to be imported into the UK.
Last month, Essar announced it is to invest £2.01bn in the Stanlow refinery across hydrogen, green ammonia and biofuels to make the North West a “leading post-carbon industrial cluster”.
Green ammonia is a highly effective liquid carrier of hydrogen, which allows for the safe and cost-efficient transport of green hydrogen at scale. The new terminal will enable the import and storage of more than one million tonnes per year of green ammonia for onwards distribution into the UK or conversion back to green hydrogen for supply to the North West’s industrial customers.
The new terminal contributes to Essar’s ambition to be a major hub of low carbon energy innovation and a leader in production globally.
The green hydrogen produced will be used by a wide range of industries in the region, including as a sustainable fuel for marine shipping and to help decarbonise energy usage, contributing significantly to the UK’s net zero ambitions.
Green ammonia is a crucial component in the development of the global hydrogen economy and is expected to develop into one of the world’s major sustainable energy commodities.
Once operational, the new terminal will put Stanlow Terminals at the heart of the global hydrogen energy market, with ready access to large scale international green ammonia imports.
The terminal will also benefit from direct connectivity with Hynet, the UK’s leading low carbon hydrogen project in terms of scale and speed to market, which is being developed in the North West.
Feasibility studies are currently being undertaken, with the terminal currently scheduled to commence operations in 2027.
The development of the green ammonia terminal is the latest phase in Stanlow Terminal’s long term plan to become the UK’s largest bulk liquid storage and energy infrastructure solutions provider.
Michael Gaynon, Stanlow Terminals chief executive, said: “This new terminal is the latest milestone in Stanlow Terminal’s and Essar’s ongoing commitment to leading the UK’s low carbon transformation. By investing in new energies infrastructure and building a secure supply chain of green ammonia into the UK, we are building on our expertise in storing and blending of bulk liquids to put the North West economy at the forefront of the UK’s energy transition to net zero.”
Prashant Ruia, Essar Capital director, said: “Essar Energy Transition is putting the UK at the forefront of the low carbon energy transition. We’re excited to be sharing more detail of our investment plans. The new terminal, provides the connecting infrastructure to enable Essar’s ambition to be a major hub of low carbon energy innovation and a leader in production globally.”
The facility is within the Peel Ports-owned Port of Liverpool and Claudio Veritiero, Peel Ports chief executive, said “The Port of Liverpool is one of the world’s leading ports and we welcome Stanlow Terminals’ investment in its exciting future.
“Liverpool’s strategic location means it’s perfectly placed to support energy transition with exciting projects like this major new open access import terminal for green ammonia.”
Essar is investing heavily in hydrogen fuel as a core part of the HyNet cluster, following Government support announced in 2021 as one of two hydrogen clusters in the country to be supported through to full operations.