Sempra Infrastructure and AVANGRID reveal plans for green hydrogen and ammonia projects

HOUSTON (ICIS)–AVANGRID, a member of the Iberdrola Group and Sempra Infrastructure announced they have entered into a heads of agreement (HOA) for the potential joint development of US green hydrogen and ammonia projects powered by renewable sources.

The companies said the HOA provides a framework to identify, appraise, and potentially develop large-scale green hydrogen projects to help meet energy and decarbonization needs of both US and international customers.

“Clean hydrogen and ammonia can be effective decarbonization solutions for various sectors of the US and global markets. We are excited to work together with AVANGRID to develop large-scale green hydrogen and ammonia projects to advance hydrogen’s role in the global energy transition,” said Justin Bird, CEO of Sempra Infrastructure.

“Significant infrastructure will be needed for hydrogen’s potential to become a reality and Sempra Infrastructure’s combined platform is well-positioned to support the deployment of these new energy solutions.”

AVANGRID said it was very proud to innovate and develop green hydrogen and ammonia projects in collaboration with Sempra Infrastructure, which it views as crucial to decarbonize the industry and reach ambitious clean energy goals.

“The US is facing unprecedented challenges and opportunities to develop competitive solutions that meet its growing energy needs, while also aiming to transition to a cleaner and more sustainable energy future,” said Pedro Azagra, AVANGRID CEO.

The parties cautioned that the HOA is non-binding, and the development of these joint projects is subject to a number of risks and uncertainties, including reaching definitive agreements, securing all necessary permits, and reaching a final investment decision with respect to each project.