About the project

Growing energy imbalances—particularly in natural gas supply during peak consumption periods—have highlighted the urgent need to diversify energy sources and develop resilient energy infrastructures. Green hydrogen has emerged as a strategic energy carrier capable of addressing these challenges while enabling long-term decarbonization. This project focuses on the development of hydrogen hubs as integrated production, recovery, distribution, and utilization centers, designed to support large-scale industrial clusters and energy-intensive regions. Based on technical, industrial, and geographical assessments, two strategic regions in Iran—Asaluyeh and the Makran coast—have been identified as priority locations for hydrogen hub development. These regions offer unique advantages, including concentrated industrial activity, access to renewable energy resources, existing energy infrastructure, and proximity to export corridors. In addition to Iran, this project framework is scalable and adaptable for hydrogen hub development across the Middle East, where similar industrial clusters, solar and wind potential, and growing demand for low-carbon energy solutions exist.

Hydrogen Hub Concept

A hydrogen hub is designed as an integrated system that includes:

  • Green hydrogen production via renewable-powered electrolysis
  • Recovery and utilization of hydrogen currently lost through industrial flaring
  • Compression, storage, and distribution infrastructure
  • Supplying hydrogen as a process feedstock, energy carrier, or blending component with natural gas

This approach transforms hydrogen from a by-product or wasted resource into a valuable industrial and energy asset.

Benefits of the Project

  • Utilization of Flared and Underutilized Hydrogen
    In industrial hubs such as Asaluyeh, hydrogen produced as part of petrochemical and refining processes is often flared. Hydrogen ring and hub systems enable recovery and productive use of this resource.
  • Reduction of Natural Gas Dependency
    Hydrogen can partially replace natural gas in industrial processes, helping mitigate seasonal and structural gas shortages.
  • Lower Emissions and Environmental Impact
    Capturing and using hydrogen significantly reduces flaring-related emissions and supports national decarbonization goals.
  • Industrial Energy Security
    A shared hydrogen infrastructure enhances supply reliability for multiple industries within the hub.
  • Cost Optimization for Industries
    Centralized hydrogen production and distribution reduce unit costs compared to isolated systems.
  • Export-Oriented and Regional Scalability
    Hydrogen hubs near coastal regions such as Makran create opportunities for future hydrogen and derivative exports, including ammonia and methanol.

Strategic Importance of Asaluyeh and Makran

  • Asaluyeh:
    Concentration of petrochemical, refining, and gas-processing facilities with existing hydrogen streams and high energy demand.
  • Makran Region:
    Strong solar and wind potential, access to seawater for electrolysis, and proximity to international shipping routes, making it suitable for large-scale green hydrogen production and export-oriented projects.

Regional Expansion Potential

The hydrogen hub model developed under this project can be replicated across Middle Eastern industrial zones, supporting regional energy transition efforts, cross-border hydrogen trade, and long-term energy security.

Technologies Applied

  • Renewable-powered electrolysis systems
  • Hydrogen recovery and purification units
  • Compression, storage, and pipeline distribution systems
  • Safety, monitoring, and control systems

Integrated EPC-based project development framework

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