Energy infrastructure provider TC Energy has signed an agreement with chemicals specialist The Chemours Company to potentially develop hydrogen production facilities and associated infrastructure in West Virginia, the companies said April 19.

Surrounding by Chemours’ Washington Works and Belle manufacturing sites, the proposed production facilities will be electrolysis-based and use the company’s Nafion ion exchange membranes and proton exchange membranes made in America.

News of the partnership comes as companies and groups in West Virginia aim to establish the Appalachian Regional Clean Hydrogen Hub. Known as ARCH2, the hub—led by natural gas producer EQT Corp., science and tech not-for-profit Batelle, GTI Energy and energy tech firm Allegheny Science & Technology—is among the proposed hubs vying for some of the $7 billion in federal funding available to establish between six and 10 hubs across the U.S.

Both TC Energy and Chemours are among the companies participating in ARCH2.

Championed for its potential decarbonization abilities, hydrogen is seen as a route to decarbonization. Though primarily used today in fertilizer production and petroleum refining, it can also be used to power fuel cells and generate electricity.

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As part of the agreement between TC Energy and Chemours, a non-binding offtake agreement for hydrogen produced by the project would be executed in support of Chemours’ facility demand, according to a news release. The excess hydrogen would be stored and made available to nearby merchant users.

“Working with TC Energy, we’ve conducted hydrogen blend testing at our Washington Works and Belle sites, demonstrating the feasibility of feeding a hydrogen-natural gas blend fuel to existing fired boiler equipment,” said Jonathan Lock, senior vice president and chief development officer at Chemours. “We look forward to moving these potential projects forward as part of the U.S. Department of Energy’s call for regional clean hydrogen hub submissions alongside the state and seeing how they can assist us in reaching our bold greenhouse gas reduction goal.”

Chemours has said it is on track to reduce its absolute greenhouse gas emissions (GHG) by 60% as it aims for net-zero emissions by 2050.

“With our long history of operating critical infrastructure in West Virginia, we are excited to develop new clean energy production opportunities and to forge a strong relationship with Chemours,” said Corey Hessen, executive vice president and president of TC Energy’s Power & Energy Solutions business.

TC Energy is working to lower GHG intensity by 30% from its operations by 2030 while delivering new energy solutions to help other businesses and industries decarbonize.

The agreement covers the companies’ interest in developing, constructing and operating clean hydrogen production facilities and associated infrastructure.

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