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it house reported on september 29 that the global energy giant shell announced that the low-carbon blue hydrogen project it planned to build on the west coast of norway would be shelved. the company stated,the main reason for this decision was lack of market demand.

it is reported that the project, called aukra hydrogen hub, was developed by shell in partnership with aker horizons and capeomega. the facility is scheduled to be put into operation in 2030, with a daily production capacity of 1,200 metric tons of hydrogen and an annual production capacity of 2.5gw.

once operational, the hydrogen facility is expected to reduce carbon dioxide emissions by 4 million tons per year. however, shell stated thatthe company does not see enough market demand to support a study of a hydrogen pipeline from norway to germany led by gassco.

a shell spokesman said: "we did not see a market emerging for blue hydrogen and therefore decided not to move forward with the project. we also decided to suspend the okhla project for the same reasons."

it is worth noting thatshell isn't the only company to announce plans to pause hydrogen facilities. not long ago, norwegian state oil company equinor also announced that it would cancel plans to produce blue hydrogen in norway and export it to germany due to high costs and insufficient demand.

it's another blow to the hydrogen industry, which has been viewed by critics of battery electric vehicles as a superior alternative to electric vehicles. blue hydrogen, which is extracted from natural gas and combined with carbon capture and storage technology, is considered an important advance for the hydrogen industry.

despite the difficulties facing the hydrogen industry, some automakers, such as bmw and toyota, continue to develop hydrogen-powered vehicles. these include the bmw ix5 hydrogen, which is expected to be equipped with two hydrogen tanks and have a range of up to 500 miles (it home note: approximately 804.67 kilometers).