en.Wedoany.com Report on Mar 26th, UK Energy Storage Company (UKEn), a subsidiary of UK Oil & Gas plc (UKOG), has signed a Memorandum of Understanding (MOU) with Wales & West Utilities Limited (WWU) to jointly advance hydrogen infrastructure projects. WWU, a major gas network operator in Wales and the South West of England, plans to develop a pure hydrogen pipeline system named 'HyLine South West' to connect the local hydrogen supply chain.
Under the agreement, the two parties will explore connecting the HyLine South West pipeline to UKEn's planned South Dorset salt cavern hydrogen storage facility. This storage node is the only nationally significant project planned in Southern England and plays a crucial role in balancing hydrogen supply and demand, as well as supporting the regional hydrogen economy. The collaboration also includes potentially jointly applying for revenue support under the government's Hydrogen Transport and Storage Business Model (HTSBM) and promoting hydrogen network development in the South West region.
This MOU complements UKEn's previous cooperation with National Gas, strengthening the UK's hydrogen infrastructure layout by enhancing regional pipeline connectivity. Stephen Sanderson, CEO of UKEn, stated: "This MOU is a significant step forward for the South Dorset hydrogen storage project. It enables large-scale storage to be connected to producers and users via the HyLine South West pipeline, while supporting joint applications for government funding. We look forward to deepening our collaboration with WWU."
Mathew Hindle, Head of Net Zero & Sustainability at WWU, pointed out: "In Wales and the South West, green gases are crucial for industrial decarbonisation. The HyLine project aims to provide critical infrastructure to minimise disruption during the energy transition. Large-scale storage is key to a clean energy system, and we are pleased to partner with UKEn to explore connecting the hydrogen network with geological storage, supporting the growth of hydrogen production and user decarbonisation."
