Williams Cos. Inc. recently signed a memorandum of understanding (MOU) with Denmark’s Ørsted AS to explore the potential for jointly developed clean energy projects in the U.S.
Through the MOU, the two companies aim to identify ways to leverage Ørsted’s renewables and hydrogen expertise with Williams’ natural gas infrastructure and processing experience to co-develop hydrogen or synthetic natural gas facilities powered by renewable energy, according to a company release on Sept. 22.
“Natural gas and our large-scale energy infrastructure network are ideal partners for facilitating the integration of renewables into the energy mix, while helping our customers move toward a low-carbon future,” Chad Zamarin, senior vice president for corporate strategic development at Williams, commented in the release.
“It’s through technology innovation and collaboration with forward-thinking companies such as Ørsted that we can leverage our assets and expertise to develop solutions to advance the clean energy economy,” Zamarin continued.
The agreement could also include a large-scale wind energy, electrolysis and synthetic gas-via-methanation co-development in western Wyoming where Williams owns significant land area and natural gas infrastructure.
Based in Tulsa, Okla., Williams’ energy infrastructure network handles 30% of the natural gas used for power generation, heating, and industrial use in the U.S. and is adaptable to future renewable energy storage and transport, according to the release.
“We’re excited to partner with Williams to deliver clean fuels in the U.S. and transform our onshore business into a potential growth platform for renewable hydrogen,” Vishal Kapadia, senior vice president and chief commercial officer of Ørsted Onshore, said in the release.
Ørsted’s journey in the U.S. started in 2015, and the company now owns and operates the Block Island Wind Farm—America’s first offshore wind farm.
Since then, Ørsted expanded its renewable energy portfolio with onshore wind, offshore wind, solar and storage in operation or construction across the Texas, Midwest and East Coast markets. The company is also currently building two huge solar arrays in Texas and Alabama, totaling nearly 700 megawatts.
“Combining our renewable development and operations expertise with access to large-scale gas transportation networks and infrastructure will further expand the scope of energy solutions we can deliver and positions us well to continue to develop innovative approaches to drive the decarbonization of the energy system,” Kapadia added.
Kinder Morgan also posted a 3% rise in gas pipeline volumes as a scramble to fill gas inventories before the winter heating season in Europe and Asia steadily boosted exports of LNG from the U.S.
Deloitte analysts find that while peak growth has passed, the industry will remain on solid ground for the foreseeable future. But how companies choose their competitive positioning will determine the new energy order.
Data drives decisions, but speaking the same language is essential to improving supply chain efficiency in oil and gas, say experts from EQT, Laredo Petroleum and more.