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Press Release

Air Liquide Receives Support from French State to its 200 MW Electrolyzer Project in Normandy and Accelerates the Development of the Hydrogen Sector in Europe

Published by Todd Bush on March 9, 2022

March 08, 2022 06:30 AM Eastern Standard Time PARIS--(BUSINESS WIRE)--Regulatory News:

Air Liquide (Paris:AI) receives support from the French State, subject to a final validation by the European Commission, to launch its Air Liquide Normand'Hy large scale renewable hydrogen production project. This electrolyzer of an initial 200 MW capacity, which should notably provide renewable hydrogen to TotalEnergies' Normandy refinery, will use Siemens Energy technology. This project will significantly contribute to the creation of a French and European low-carbon hydrogen sector and to the decarbonization of the Normandy industrial basin. It will also contribute to the development of heavy duty hydrogen mobility in this important industrial area.

The Air Liquide large-scale renewable hydrogen production by electrolysis project has applied to the Hydrogen Important Project of Common European Interest (IPCEI Hydrogen) program, with a requested financial support of 190 million euros. Air Liquide welcomes the French State's will to support the project by reserving the necessary budget for its realization, subject to the conclusion of the investigation by the European Commission.

This electrolyzer project, named Air Liquide Normand'Hy, of a capacity of 200 MW in a first phase, will be located in Port-Jérôme, Normandy. It will be one of the first electrolyzers of this size in operation in the world, to decarbonize industry and mobility. It is planned to be commissioned in 2025. It will use Siemens Energy's Proton Exchange Membrane (PEM) technology, and will be built in the framework of the partnership announced between Air Liquide and Siemens Energy in February 2021. Air Liquide and Siemens Energy thus contribute to the rise of a European renewable hydrogen sector, with strong Franco-German roots.

Air Liquide is at the heart of a European renewable hydrogen production ecosystem, combining technology, renewable energy and applications. Air Liquide has signed a Memorandum of Understanding with TotalEnergies aiming at the signing of a long term renewable Power Purchase Agreement (PPA) for part of the needs of the Air Liquide Normand'Hy electrolyzer. By implementing this electrolyzer technology for the first time at this scale, the Air Liquide Normand'Hy project will be in a position to provide renewable hydrogen to the industrial companies of the Normandy basin and to contribute to the development of low-carbon heavy duty mobility on the Axe Seine.

The supply of renewable hydrogen will contribute to the decarbonization of the refinery industry in this important French industrial basin, in accordance with the RED2 regulation. Air Liquide has signed a Memorandum of Understanding with TotalEnergies for the use of renewable hydrogen on its Gonfreville refinery. This refinery is connected to the local Air Liquide hydrogen network to which the new electrolyzer will also be connected.

Air Liquide Normand'Hy is part of a wider project to decarbonize the Normandy industrial basin. Air Liquide, Borealis, Esso S.A.F., TotalEnergies and Yara International have signed a Memorandum of Understanding in July 2021 aiming at developing a CO2 capture and storage infrastructure in Normandy with the objective to reduce CO2 emissions by up to 3 million tonnes per year by 2030.

Benoît Potier, Chairman and Chief Executive Officer of the Air Liquide group, stated: ' I welcome the French State's commitment to Air Liquide Normand'Hy. This support will allow the realization of a major and innovative large-scale renewable hydrogen production project. It will also contribute to the creation of a competitive European hydrogen sector, which we want to spearhead with our partner Siemens Energy. Air Liquide Normand'Hy is at the heart of a vast ecosystem whose ambition is to decarbonize the Normandy industrial basin, notably by giving access to a low-carbon hydrogen network to major industrial companies such as TotalEnergies, but also by contributing to the development of low-carbon heavy duty mobility on the Axe Seine. The creation of that ecosystem with our partners demonstrates the will and the capacity of industrial companies to bring concrete solutions to the fight against global warming. This is in line with our Sustainable Development strategy, which aims not only at reducing our emissions but also at providing a range of solutions to decarbonize the industry. '

A world leader in gases, technologies and services for Industry and Health, Air Liquide is present in 75 countries with approximately 66,400 employees and serves more than 3.8 million customers and patients. Oxygen, nitrogen and hydrogen are essential small molecules for life, matter and energy. They embody Air Liquide's scientific territory and have been at the core of the company's activities since its creation in 1902.

Air Liquide's ambition is to be a leader in its industry, deliver long term performance and contribute to sustainability - with a strong commitment to climate change and energy transition at the heart of its strategy. The company's customer-centric transformation strategy aims at profitable, regular and responsible growth over the long term. It relies on operational excellence, selective investments, open innovation and a network organization implemented by the Group worldwide. Through the commitment and inventiveness of its people, Air Liquide leverages energy and environment transition, changes in healthcare and digitization, and delivers greater value to all its stakeholders.

Air Liquide's revenue amounted to more than 23 billion euros in 2021. Air Liquide is listed on the Euronext Paris stock exchange (compartment A) and belongs to the CAC 40, CAC 40 ESG, EURO STOXX 50 and FTSE4Good indexes.

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