(Groningen / Netherlands) – The Dutch state-owned long-distance gas network operator Gasunie BV wants to market underground storage capacities for hydrogen through its subsidiary Hystock BV from June 15th. The first cavern planned for this purpose is currently being developed in Zuidwending near Veendam in the province of Groningen. The company explains that it is expected that the need for large-scale hydrogen storage will increase in the coming years to compensate for the fluctuating supply and demand for renewable energy.
Scheme of hydrogen use in Gasunie natural gas caverns. © Gasunie
Hystock has been working on a series of salt caverns in Zuidwending for some time. According to current planning, the first cavern will go into operation in 2028; three more would be realized “shortly after 2030”. As reported, Gasunie said in August last year that 76 million cubic meters of hydrogen gas would be injected into each of the four caverns, with a total storage capacity of around 26 million kilograms. At the time it was said that the first cavern should be put into operation by 2026.
Collateral required for financing
Hystock wants to offer market participants security for their available capacities. In addition, commitments and financial guarantees are needed in order to conclude binding contracts and make further investment decisions that correspond to market demand.
The allocation of the first cavern takes place as part of a process called “Open Season”. This is “an objective, transparent and non-discriminatory way to offer storage capacities to the market”. According to the information, the agreements to be made consist of a fixed capacity commitment for feed-in, exit and storage space. The first results are expected to be announced in the summer.
The Hystock project also includes a plant for the production of green hydrogen using electricity from wind turbines or photovoltaic systems. Gasunie announced last summer that it had commissioned Bilfinger Tebodin Netherlands BV, a subsidiary of Mannheim-based Bilfinger SE, to provide engineering services for the project.
Class schedule
Hystock is building several caverns for hydrogen storage in Groningen and will begin the first round of marketing in June. © Hystock BV
