Green hydrogen is the future!

Santa Cruz Province Argentina

The Project

Santa Cruz (Spanish for "Holy Cross") is one of the five provinces in the Argentine part of Patagonia. It takes its name from the Santa Cruz River, which forms the outlet of Lago Argentino and flows into the Atlantic Ocean. This ensures a sufficient supply of fresh water for the production of H2.

Freshwater Resources

Water of good quality and purity is needed for H2 extraction. This is available through Lago Argentino.
The river flows in an easterly direction through Patagonia and empties into the Atlantic Ocean after 385 km at Puerto Santa Cruz. The Río Santa Cruz has an average discharge of 790 m³/s and is used not only for irrigation but also for energy production.

At this moment we have a lot of thoughts when it comes to hydrogen, but they probably do not think of generating it in a wind turbine. Even though precisely this generation in the turbine itself offers so many benefits and is able to reinforce the energy system in several areas. Our aim is to convert as many wind turbines as possible to ‘hydrogen turbines’, or build them as hydrogen turbines from the start.

Hydrogen from offshore wind is a competitive alternative for diesel. Hydrogen produced by means of water electrolysis, integrated in an offshore wind turbine and then brought ashore via a pipe line, could compete with the deployment of diesel as fuel. The ‘levelised cost of energy (LCoE)’ per GJ of hydrogen is similar to the costs of bringing electricity from an offshore wind turbine on shore. The higher generation costs of hydrogen are offset by the fact that the transport of gas per unit of energy is much less expensive than the transport of electricity.

In addition, a hydrogen pipe line infrastructure is able to serve as storage. The further away offshore, or the larger the transport and distribution network onshore, the lower the need for extra storage to be able to compensate fluctuations between demand and supply.

Integration of the electrolysis process in a wind turbine prevents electrical conversion and transport losses between the wind turbine generator and the onshore landing point. Integration also offers an opportunity to increase the efficiency of the electrolysis process. Due to the integration, new points of departure are created for the optimisation of wind turbines and the wind farm as a whole.

What is stated above ensures that the cost price per GJ is similar to the electrical equivalent and that the amount of energy (GJ) brought on shore is similar. The production costs of hydrogen directly in the turbine are many times lower than the production of hydrogen in a separate electrolysis process connected to the electrical infrastructure.

In our case we use the LNG tank ships for transportation of the product.

Depending on which customer we serve first, we will regulate the transport, certainly the price already negotiated today plays a significant role - not to forget, the transport costs that will be incurred by then - depending on the destination.

Rough cost calculation of the project: