HD Hyundai, Shell sign deal to develop large liquefied hydrogen carriers

Industry

Published: 24 May. 2024, 17:42 Updated: 24 May. 2024, 17:42

HD Hyundai, Shell sign deal to develop large liquefied hydrogen carriers

HD Hyundai signed an agreement with Shell at the HD Hyundai Global R&D Center in Seongnam, Gyeonggi. From left: Kim Sung-joon, CEO of HD KSOE, Karrie Trauth, senior vice president of Shell, Jeon Seung-ho, CTO of HD HHI. [HD HYUNDAI]

HD Hyundai and major British oil company Shell will jointly develop a large-scale liquefied hydrogen carrier with the aim of commercializing it by 2030.

HD Hyundai’s two shipbuilding affiliates, HD Korea Shipbuilding & Offshore Engineering (HD KSOE) and HD Hyundai Heavy Industries (HD HHI), signed a joint development agreement with Shell at the HD Hyundai Global R&D center in Seognam, Gyeonggi, according to the holding company Friday.

The signing ceremony was attended by HD KSOE CEO Kim Sung-joon, HD HHI CTO Jeon Seung-ho and Shell Senior Vice President Karrie Trauth.

HD KOSE will focus on developing core technologies, including large liquefied hydrogen tanks and hydrogen cargo operating systems, while HD HHI will develop hydrogen engines and design liquefied hydrogen carriers.

Shell will share its experiential know-how in technology development and vessel operations and assess the feasibility of the liquefied hydrogen carrier designs.

The companies intend to secure a leading position in the global liquefied hydrogen transportation market. According to a report by Statista, the hydrogen transportation market, including ships and pipelines, is expected to reach approximately $566 billion by 2050.

“Through our partnership with global energy company Shell, we aim to become leaders in the next-generation environmentally friendly energy market,” said Kim Sung-joon, CEO of HD KSOE.

Shell's senior vice president shared Kim's sentiment. "This project will not only strengthen our partnership but also provide a meaningful opportunity to design future vessels and offer better energy solutions,” Trauth said.

HD Hyundai has focused on technology development in the hydrogen transportation sector.

In February, the company signed a memorandum of understanding with Woodside Energy, a leading Australian energy company, Hyundai Glovis and Japanese shipping company Mitsui O.S.K. Lines to develop a liquefied hydrogen supply chain.

BY CHOI HAE-JIN [choi.haejin@joongang.co.kr]