TotalEnergies has said that it has signed a 15-year agreement with Air Products for annual supply of 70,000 tons of green hydrogen in Europe starting in 2030.

This marks the first long-term green hydrogen supply contract for TotalEnergies under its tender, launched last year, to supply 500,000 tons of green hydrogen annually to decarbonize the company’s refineries in Europe.

Under the agreement, Air Products will deliver the green hydrogen directly to TotalEnergies’ refineries in Northern Europe. This hydrogen is expected to avoid about 700,000 tons of CO2 emissions annually.

This deal follows TotalEnergies’ plan to reduce net greenhouse gas emissions from its oil and gas operations by 40% by 2030, compared to 2015 levels.

“We are proud to partner with Air Products, a pioneer in low carbon hydrogen production, under the leadership of Seifi Ghasemi. Once again, we demonstrate our capacity to pioneer the energy transition and contribute to the emergence of a green hydrogen industry by offering long-term contracts with our six refineries and two biorefineries in Europe,” said Patrick Pouyanné, Chairman and CEO of TotalEnergies.

“We are also happy to extend our partnership with Air Products by becoming ourselves a supplier of green power to Air Products and contributing to Air Products’ own decarbonization roadmap,” Pouyanné added.

For his part, Air products’ Chairman, President and CEO Seifi Ghasemi said: “Today, one of the largest energy companies in the world has committed to use renewable hydrogen to decarbonize its refineries in Northern Europe, and we at Air Products are honored and proud to be the producer and supplier of the green hydrogen required.”

Air Products started the journey of producing clean hydrogen seven years ago, Ghasemi noted.

“We always believed that if we made clean hydrogen available at commercial scale, the demand would be there. This contract validates our long-term strategy. Clearly the demand is here, and it will grow significantly as we move forward, playing an essential role in decarbonizing heavy industry and other sectors. I also want to express my admiration for Mr. Patrick Pouyanné’s vision and courage in acting as a first mover towards creating a cleaner future for the world,” Ghasemi added.

TotalEnergies and Air Products have also signed a memorandum of understanding (MoU) for the supply of renewable power, This includes a Power Purchase Agreement (PPA) for 150 megawatt (MW) produced at a solar project in Texas, with plans to explore additional PPA opportunities in the UK, Poland, and France.