Signed with Essar and Progressive Energy joint venture, Vertex Hydrogen, the Heads of Terms (HoTs) offtake agreement will see Tata receive over 200MW of low-carbon hydrogen.

As a producer of sodium carbonate, salt, sodium bicarbonate, and other produced used in industries such as food, glass, detergents, and chemicals, the agreement comes as another firm step in the company’s race to achieving Net Zero by 2030.

Tata in 2022 opened an industrial-scale carbon capture and usage plan, capable of capturing up to 40,000 tonnes of carbon dioxide emissions each year.

Established in January 2022, Vertex Hydrogen has proposed building a 1GW hydrogen production plant in the UK.

Read more: Essar launches joint venture with Progressive Energy to create a hydrogen production hub with over 1GW in hydrogen capacity by 2026

“We are thrilled to sign these Heads of Terms with Tata Chemicals Europe, as an industry leader driving tangible change to reduce emissions,” said Joe Seifert, CEO of Vertex Hydrogen. “This agreement marks another major step forward in the North West’s energy transition, as Vertex continues to help build the UK’s low-carbon energy future.”

Earlier this month (January 2023), Vertex signed an offtake agreement with UK glass manufacturer, Pilkington UK, to be used to develop low-carbon glass manufacturing methods.

Read more: Vertex Hydrogen signs offtake agreement with Pilkington UK

Martin Ashcroft, Managing Director of Tata Chemicals Europe, commented, “We have been supporters of Vertex and the low-carbon hydrogen segment as a real opportunity to further reduce emissions at our world class CHP facility. This agreement marks the next step in our relationship as we continue our journey as a leader in industrial decarbonisation.”

The Tata Group has made wider investments in hydrogen in recent years. In 2021 the Group’s steel business said it would introduce direct reduced iron (DRI) technology using hydrogen into electric furnaces at its plant in the Netherlands. Additionally, Tata Motors signed an agreement with Cummins to collaborate on hydrogen internal combustion engines (ICEs) and fuel cell systems last November (2022).


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