Rosatom implementing Sakhalin hydrogen project itself after agreement with Air Liquide lapses

MOSCOW. Sept 2 (Interfax) - Rosatom's cooperation agreement with France's Air Liquide for a project to build a hydrogen production complex on Sakhalin Island has expired, the Russian state corporation told Interfax.

"Our cooperation agreement with Air Liquide has now concluded, it has expired. The parties do not intend to renew it," Rosatom said.

Rosatom said it has abandoned the "concept of a single supplier," and is now "continuing the implementation of the project independently with the participation of a number of Russian and foreign partners.

Air Liquide, a leading producer of industrial gases, announced on Friday that it intends to exit Russia. The company said it signed a memorandum of understanding with the local management team with the objective to transfer its activities in Russia in the framework of a management buyout. This is subject to Russian regulatory approvals.

Rusatom Overseas, Air Liquide and the Sakhalin regional government signed a memorandum of understanding in the spring of 2021 to study the possibility of building a complex on Sakhalin Island to produce up to 100,000 tonnes of hydrogen per year. The parties completed a feasibility study for the project in February 2022.

The low-carbon hydrogen from the project might find a market in the Asia-Pacific region, as supplies starting in 2025 were discussed with potential partners in Japan and South Korea, Rusatom Overseas president Yevgeny Pakermanov said earlier.

It was reported earlier that Rosatom is considering a total of ten pilot projects in the field of hydrogen energy. Rusatom Overseas vice president Anton Moskvin said in January that the company is now developing these projects. The company is doing research on large-scale hydrogen transportation and production and working with metal companies.