The Anonymous Widower

Centrica And Equinor Agree Major New Deal To Bolster UK Energy Security

The title of this post, is the same as that as this news item from Centrica.

This is the sub-heading.

Centrica and Equinor have today announced a £20 billion plus agreement to deliver gas to the UK. The new deal will see Centrica take delivery of five billion cubic meters (bcm) of gas per year to 2035.

These three paragraphs add more detail to the deal.

The expansive ten-year deal continues a long-term relationship with Equinor that dates back to 2005 bringing gas from Norway to the UK.

In 2024, the UK imported almost two-thirds (66.2%) of its gas demand, with 50.2% of the total imports coming from Norway1. This is an increase from the UK importing around a third of its gas requirements from Norway in 20222 and underlines the strategic importance of the Norwegian relationship to UK energy and price security.

The contract also allows for natural gas sales to be replaced with hydrogen in the future, providing further support to the UK’s hydrogen economy.

I believe there is more to this deal than, is stated in the news item.

These are my thoughts.

Where Does AquaVentus Fit In?

The AquaVentus web site has a sub heading of Hydrogen Production In The North Sea.

This video on the web site shows the structure of the project.

I clipped this map from the video.

Note.

  1. The thick white line running North-West/South-East is the spine of AquaVentus, that will deliver hydrogen to Germany.
  2. There is a link to Esbjerg in Denmark, that is marked DK.
  3. There appears to be an undeveloped link to Norway, which goes North,
  4. There appears to be an undeveloped  link to Peterhead in Scotland, that is marked UK.
  5. There appears to be a link to just North of the Humber in England, that is marked UK.
  6. There appears to be an extra link, that would create a hydrogen link between Norway and Humberside.
  7. Just North of the Humber are the two massive gas storage sites of Aldbrough owned by SSE and Brough owned by Centrica.
  8. Aldbrough and Rough gas storage sites are being converted into two of the largest hydrogen storage sites in the world!
  9. There appear to be small ships sailing up and down the East Coast of the UK. Are these small coastal tankers, that are distributing the hydrogen to where it is needed?

When it is completed, AquaVentus will be a very comprehensive hydrogen network.

RWE

I should add that AquaVentus is a project of German energy company; RWE.

It should be noted that RWE are the largest generator of electricity in the UK.

They will soon be even larger as they are developing these offshore wind farms in British waters.

  • Dogger Bank South – 3 GW
  • Norfolk Boreas – 1.4 GW
  • Norfolk Vanguard East – 1.4 GW
  • Norfolk Vanguard West – 1.4 GW

Note.

  1. This is 7.2 GW of electricity.
  2. The three Norfolk wind farms wwere possibly acquired at a bargain price from Vattenfall.
  3. None of these wind farms have Contracts for Difference.
  4. RWE are developing large offshore electrolysers.
  5. East Anglia is in revolt over pylons marching across the landscape.

I wonder, if RWE will convert the electricity to hydrogen and bring it ashore using AquaVentus, coastal tankers or pipelines to existing gas terminals like Bacton.

The revenue from all this hydrogen going to Germany could explain the rise in Government spending, as it could be a Magic Money Tree like no other.

HiiROC

HiiROC is a Hull-based start-up company backed by Centrica, that can turn any hydrocarbon gas, like chemical plant waste gas, biomethane or natural gas into turquoise hydrogen and carbon black.

I asked Google about the size of Norway’s chemical industry and got this reply.

Norway’s chemical industry, including oil refining and pharmaceuticals, is a significant part of the country’s economy. In 2023, this sector generated sales of NOK 175 billion (approximately €15.2 billion), with 83% of those sales being exports. The industry employed 13,800 full-time equivalents and added NOK 454 billion (approximately €3.9 billion) in value.

Isn’t AI wonderful!

So will Norway use HiiROC or something similar to convert their natural gas and chemical off-gas into valuable hydrogen?

If AquaVentus were to be extended to Norway, then the hydrogen could be sold to both the UK and Germany.

A scenario like this would explain the option to switch to hydrogen in the contract.

Aldbrough And Brough

Earlier, I said that just North of the Humber are the two massive gas storage sites of Aldbrough owned by SSE and Brough owned by Centrica.

I have read somewhere, that Germany is short of hydrogen storage, but I’m sure Centrica and SSE will help them out for a suitable fee. Centrica are also thought to be experts at buying energy at one price and selling it later at a profit.

Conclusion

I have felt for some time, that selling hydrogen to the Germans was going to be the Conservative government’s Magic Money Tree.

Has this Labour government decided to bring it back to life?

 

June 11, 2025 - Posted by | Energy, Hydrogen | , , , , , , , , , , ,

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