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BP scraps plans for Teesside hydrogen and carbon capture scheme
BP abandoned its £4.5 billion hydrogen project at Teesworks due to local approval of a large AI data centre and reduced industrial hydrogen demand, increasing project risk.
- On Monday, BP withdrew its application and scrapped the H2Teesside project after clashing with rival plans at the Teesworks site at the former Redcar steelworks.
- Site owners backed plans for a large AI data centre and Redcar and Cleveland council granted permission in August, while BP said hydrogen demand in Teesside deteriorated as major industrial consumers scaled back decarbonisation.
- Seeking powers to compulsorily purchase land, BP's H2Teesside was planned in two phases costing 2.3 billion and 2.2 billion, with Lord Houchen saying it could attract £100 billion of AI investment.
- A BP spokeswoman said it will continue other Teesside projects including Net Zero Teesside and the Northern Endurance Partnership, while the energy department spokeswoman said routes remain for Tees Green Hydrogen moving towards a final investment decision.
- Government ministers were split over the competing proposals, with the prime minister and Peter Kyle backing the data centre while Ed Miliband delayed his decision until this week, supporting BP's plans.
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BP pulls out of Teesside hydrogen plant
BP has withdrawn its H2Teesside blue-hydrogen project at Teesworks in Redcar, pulling out days before a key Government decision and blaming a ‘material change in circumstances’ after the same site was lined up for a major AI data centre instead. The move ends BP’s bid to secure a development consent order (DCO) for H2Teesside, a nationally significant infrastructure project that would have given the company powers to compulsorily purchase around…
'Pity we couldn't have both' as BP quits hydrogen plan and Teesside backs mega AI centre
Energy giant BP has formally written to the Government to withdraw its plans for the H2Teesside hydrogen project, opening the door to what could be Teesside's biggest private investment
·Middlesbrough, United Kingdom
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Total News Sources10
Leaning Left0Leaning Right1Center3Last UpdatedBias Distribution75% Center
Bias Distribution
- 75% of the sources are Center
75% Center
C 75%
R 25%
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