HIGHLIGHTS:
• Provaris’ latest report compares the delivery cost of hydrogen for three hydrogen energy vectors (compression,
liquefaction, and ammonia) when integrated with a variable renewable energy profile to produce hydrogen.
• Energy use and losses across the entire supply chain (generation, production, and delivery) associated with
liquefaction and ammonia exceed 40%, while compression remains below 20%.
• Compression is the most cost-effective option for regional transport distances from 500 to 4000 nautical miles with
volumes of up to 500,000 tonnes per annum (tpa).
• Liquefaction and ammonia suffer from high levels of renewable energy curtailment, energy use in the conversion
process (20-30% loss), and energy use in the conversion back to gaseous hydrogen upon delivery (5-30% loss).
• Compression is the most compatible with variable renewable generation profiles as it can fully “load follow”,
eliminating additional capex required for “battery and hydrogen storage” to manage variability.
• A bulk-scale hydrogen storage solution is required regardless of the hydrogen energy vector selected, and the recent
launch of Provaris’ proprietary H2Leo floating storage solution is a low-cost alternative for hydrogen storage.
• Compression is a compelling solution for regional green hydrogen trade to support the REPowerEU requirement for
10Mtpa imports by 2030.
Provaris Energy Ltd is excited to announce the successful
completion of its 2023 Hydrogen Marine Transport Comparison Report (the Report). The findings of the Report further
solidify the numerous advantages of the compressed storage and maritime transport hydrogen supply chain and highlight
that compression is a viable alternative and low-cost delivery method for the regional transport of hydrogen.
Martin Carolan, Provaris Managing Director and CEO commented: “We are witnessing a remarkable increase in
awareness and comprehension of some of the formidable challenges associated with delivering green hydrogen and the
need for scalable solutions before 2030. Relying predominantly on ammonia supply chains to deliver hydrogen is not
necessarily an efficient solution for governments and industries that require gaseous hydrogen to achieve emission
reduction targets.
Given the urgency to take immediate action and expedite the development of supply chains, compression emerges as a
key enabler that can unlock the potential of renewable resources and deliver substantial volumes to regional markets
while maintaining favourable economic returns. In contrast, the liquefaction and ammonia alternatives present less
favourable economics.
By embracing compression as a crucial element in our hydrogen infrastructure, we ensure a swifter realisation of emission
targets for hard to abate sectors and effectively address the challenges we have ahead of us.”
Garry Triglavcanin, Provaris Chief Development Officer added: “A key objective of this Report was to
understand and identify each of the components that together delivered the complete “generation, production and
delivery” vector supply chain for marine transport as either compressed gas, liquefied, or ammonia, relying on
renewable power generation.
One of the key outcomes of the Report confirms that hydrogen produced from a renewable energy resource and
delivered by marine transport either required: i) a process such as compression that was suitable to “load follow”
the variability of the renewable generation profile; or ii) for liquefaction and ammonia, to the installation of a
significant level of “battery and hydrogen storage” capacity to enable the hydrogen to be export ready. The latter
was found to have a significant impact on the cost of producing green hydrogen.”
Provaris has consistently emphasized the importance of understanding the overall efficiency of the complete
hydrogen supply chain, from renewable electricity generation through to hydrogen production and delivery to the
end customer. This Report precisely identifies the energy use and losses associated with each hydrogen energy
vector (compression, liquefaction and ammonia) and the significant impact they have on the full delivered cost of
hydrogen. Liquid Organic Hydrogen Carriers have not been considered in the comparison as they are considered
only to be a viable alternative for specific production and use cases.
This comprehensive analysis underscores the compelling advantages of compression, the supply chain efficiency,
and its potential to simplify and revolutionize regional transportation of hydrogen. Provaris is confident that these
findings will drive further adoption and accelerate the hydrogen industry towards a sustainable and economic
solution.
Importantly the report ratifies that Provaris’ proprietary H2Neo (430t) and H2Max (2,000t) compressed hydrogen
carriers and H2Leo compressed storage barge provide a highly competitive marine transportation (and storage)
option for hydrogen, at scale over shipping distances of up to 4,000 nautical miles.
