onto the next step

Houston company gets greenlight for liquid hydrogen storage system

CB&I got the approval it was looking for on its cargo containment system for liquid hydrogen. Photo courtesy

CB&I, the storage business of Houston-based energy contractor McDermott International, has gotten a preliminary green light for its design of a cargo containment system for liquid hydrogen.

DNV, a classification body for the maritime industry, extended the preliminary approval for the system’s design. CB&I is working on the project with Shell International Trading and Shipping, which transports crude oil, gas, carbon dioxide, and other cargo.

The Shell transportation unit operates the Suiso Frontier, the world’s first ship for hauling liquid hydrogen (LH2). The vessel can carry 75 metric tons of LH2. The Suiso Frontier, which completed its maiden voyage between Australia and Japan in 2022, is the key component of a $360 million coal-to-hydrogen venture.

CB&I designs and builds storage facilities, tanks, and terminals for energy companies. McDermott provides engineering and construction services for the energy industry.

Cesar Canals, senior vice president of CB&I, says his company’s collaboration with Shell and DNV is “making large-scale liquid hydrogen storage and transport more economical. This approval is a major milestone in making this groundbreaking technology available to all companies looking to build LH2 carriers, and we look forward to the possibilities this brings to advancing the hydrogen energy supply chain.”

The containment system’s design is based on CB&I’s technology for onshore storage of LH2. Over the past 60 years, CB&I has designed and built more than 130 onshore storage tanks for LH2.

“The combined cargo containment system and hull design effort aims to address the energy density challenge, benefitting from LH2’s properties and achieving more energy onboard,” says CB&I. “The cargo containment system was integrated into a concept vessel design developed by Houlder, which includes a hull that is optimized for the low-density cargo around … three large tanks.”

Today, LH2 is transported primarily via trucks and pipelines. The Getting to Zero Coalition, a proponent of zero-emission vessels, says the Suiso Frontier represents the first step toward commercializing a global LH2 supply chain by 2030.

“Maritime distribution of hydrogen promises much more flexible energy transfer than transmission of electricity generated from renewables, especially for longer distances,” according to a sponsored article published by Nature.com.

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A View From HETI

Reuters reports that Oxy CEO Vicki Hollub will retire this year. Photo courtesy Oxy

Vicki Hollub, CEO of Houston-based Occidental (Oxy), is set to retire this year, Reuters first reported Thursday.

Hollub has held the top leadership position at Oxy since 2016 and has been with the oil and gas giant for more than 40 years. Before being named CEO, she served as chief operating officer and senior executive vice president at the company. She led strategic acquisitions of Anadarko Petroleum in 2019 and CrownRock in 2024, and was the first woman selected to lead a major U.S. oil and gas company.

Reuters reports that a firm date for her retirement has not been set. Richard Jackson, who currently serves as Oxy's COO, is expected to replace Hollub in the CEO role.

Oxy is leading a number of energy transition projects.

It's subsidiary 1PointFive is developing a $1.3 billion direct air capture (DAC) project in the Midland-Odessa area that is slated to be the largest facility of its kind in the world. Known as STRATOS, it's designed to capture up to 500,000 metric tons of CO2 per year.

The company shared recently that Phase 1 of the project is expected to go online in Q2, with Phase 2 ramping up through the remainder of 2026.

“We are immensely proud of the achievements to date and the exceptional record of safety performance as we advance towards commercial startup,” Hollub said of Stratos last year.

“We believe that carbon capture and DAC, in particular, will be instrumental in shaping the future energy landscape,” she added.

Oxy was one of the first to set ambitious net-zero goals. In a 2020 interview during CERAWeek, Hollub outlined Oxy's future as a “carbon management company.”

“Ultimately, I don’t know how many years from now, Occidental becomes a carbon management company, and our oil and gas would be a support business unit for the management of that carbon. We would be not only using [CO2] in oil reservoirs [but] capturing it for sequestration as well,” Hollub said.

Oxy opened its Oxy Innovation Center in the Ion last year, focused on advancing low-carbon technology. It also operates Oxy Low Carbon Ventures, which focuses DAC, carbon sequestration and low-carbon fuels through businesses like 1PointFive, TerraLithium and others.

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