Italian Snam to Work with Saipem on Transition

Italian transmission system operator Snam and engineering firm Saipem are to start working together on new energy transition technologies, they said September 10.

Their memorandum of understanding includes green hydrogen manufacture and transport and carbon capture, use and storage, with the aim of "fighting climate change and contributing to the launch of the hydrogen market, supporting the European Commission's Hydrogen Strategy." They hope that some of their work will be eligible for EU funding.

The two are already developing technology for electrolysing water. The two will also try to develop feasibility studies in order to find new solutions to transport hydrogen in both liquid and gaseous form, by using and adapting existing infrastructure and networks as well as by shipping it by vessel, and to capture, transport, store or enhance CO2.

Snam CEO Marco Alvera said the company hoped that Italy's geographical location, its natural resources and the strength of its manufacturing sector would allow it to become a European and Mediterranean hydrogen hub, with the social, economic and environmental benefits that would bring.

Saipem CEO Stefano Cao said the agreement was aligned with Saipem's goal of becoming a leading player in the energy transition. He said that over the next few years, hydrogen will become a commodity which, together with LNG, will shape the energy transition process: Saipem is concentrating on both blue hydrogen production technologies, using energy from fossil fuels, and green hydrogen from renewable sources, also drawing on the experience gained from several projects implemented worldwide.

The agreement will eventually be the subject of subsequent binding agreements that the parties will define in compliance with the applicable regulatory profiles, including those relating to transactions between related parties.