Penspen, a leading UK-headquartered energy consultancy, has been awarded a significant contract to assess the feasibility of introducing hydrogen blending in a major European project.
Under the agreement with Tran Adriatic Pipeline AG (TAP), Penspen will examine the possibility of integrating hydrogen blends into the current gas infrastructure.
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The company will conduct this project, for a fee that has not been disclosed, from its office in Aberdeen, where approximately 120 employees work following the acquisition of C&I Engineering Solutions in October.
The 877km natural gas pipeline extends from the Greek-Turkish border, linking with the Trans Anatolian Pipeline, traversing Albania and the Adriatic Sea to southern Italy.
Having been operational since late 2020, Penspen stated that TAP is a “key part” of the Southern Gas Corridor to Azerbaijan, and “plays a significant role in boosting Europe’s energy security and supply diversification”.
Penspen project manager for the TAP project Angus Reid said hydrogen enablement of strategic transportation infrastructure is a “key factor for long-term regional decarbonisation”.
“Supporting the introduction of hydrogen into a major pipeline will promote hydrogen generation projects in south eastern Europe as well as a multitude of hydrogen use opportunities,” Reid said.
TAP managing director Luca Schieppati said the project demonstrates the company’s commitment to innovation and a “sustainable energy future for Europe”.
“TAP has the potential to become a significant contributor to Europe’s goal of achieving climate neutrality by potentially supplying the EU with carbon-neutral energy sources, such as hydrogen blended with natural gas,” Schieppati said.
“Evaluating whether our above-ground installations are hydrogen-ready for hydrogen blending with natural gas, with the support of an experienced supplier like Penspen, is an important step in this broader process.”
The TAP agreement is the latest in a series of contracts for hydrogen-related services awarded to Penspen, which is a subsidiary of the Dubai-based engineering powerhouse Sidara.
In the UK, Penspen has secured a front-end engineering and design (FEED) contract from EET Hydrogen for its HPP1 low carbon hydrogen facility, which is part of the HyNet initiative.
In Europe, Penspen is also conducting hydrogen feasibility and readiness evaluations for Latvian gas operator Conexus Baltic Grid and the Portuguese national gas transmission operator REN-Gasodutos.
Penspen’s growth in Scotland follows shortly after its parent company Sidara opted out of a potential acquisition of its Aberdeen-based competitor Wood.
The firm says that its expanding expertise in hydrogen positions it well for further development in the UK and Scotland, where the Scottish government regards hydrogen exports as one of its “greatest industrial opportunities since oil and gas.”
This latest development underscores the company’s growing role in the energy transition and its commitment to sustainable energy solutions.
The project, which will be delivered from Penspen’s Aberdeen office, marks a crucial step in the company’s expansion of its energy transition project portfolio.
This follows closely on the heels of a similar contract awarded by Latvian Natural Gas Operator, Conexus Baltic Grid, in December 2024.
Ali Alani, Director of Asset Integrity at Penspen, expressed enthusiasm about the company’s involvement in hydrogen integration projects, stating: “We are very pleased to be awarded this project and excited to be working with Conexus Baltic Grid. The project scope aligns well with our materials engineering and pipeline analysis core strengths as well as our extensive knowledge of pipes from that age and region”4. The Aberdeen office, which has recently been strengthened by key appointments and acquisitions, will play a pivotal role in delivering this project. In September 2024, Penspen appointed Angus Reid as Head of Projects for the UK and Europe, based in the Aberdeen office. Reid brings over 28 years of experience in the energy sector and has been instrumental in UK decarbonisation efforts over the past decade1. Peter O’Sullivan, Penspen’s CEO, highlighted the company’s strategic growth, saying, “The acquisition of C&I Engineering Solutions grows our team in the UK, broadening the support we can provide our clients, and enhancing our ability to achieve our vision, which is to improve access to secure and sustainable energy for the communities in which we work”5. This latest project not only reinforces Penspen’s position as a key player in the energy transition but also demonstrates the increasing importance of hydrogen in Europe’s future energy landscape. As the continent moves towards cleaner energy sources, Penspen’s expertise in hydrogen integration and pipeline safety will be crucial in ensuring the safe and efficient transformation of existing infrastructure.
