USTDA Initiated a Funding Process for Feasibility Study of Pilot Hydrogen Project in Chiren

The U.S. Trade and Development Agency (USTDA) initiated a funding application process for the feasibility study on the pilot hydrogen project for the Chiren underground gas storage facility. Carl Kress, USTDA Regional Director, Middle East, North Africa, Europe and Eurasia, confirmed the news during a meeting with Vladimir Malinov, Bulgartransgaz Executive Director, in Washington. The institution provides funding to key projects and collaborates with companies to develop sustainable infrastructure and foster economic development in partner countries. Carl Kress emphasized that the feasibility study is eligible for full funding. Once the internal approval procedure within the agency is completed, a grant agreement will be signed.

"As a responsible gas transmission operator, Bulgartransgaz is already working on the further development of the hydrogen transmission infrastructure to neighbouring countries, as well as on retrofitting the existing gas transmission system to work with hydrogen-gas mixtures. The implementation of this first-of-its-kind project in Bulgaria for green hydrogen production and use for technological needs at Chiren UGS facilities will reduce greenhouse gas emissions and contribute to achieving the decarbonisation targets," Malinov told USTDA representatives.

We recall that a Memorandum of Understanding on the project was signed in September 2023 in the USA between Bulgartransgaz EAD, Glavbolgarstroy Holding AD, the U.S. companies Solar Turbines Inc. and Honeywell and the Italian company Pietro Fiorentini. The first step is a feasibility study that will determine the technical configuration and structure of the public-private partnership for its implementation. The green hydrogen produced is to be used as fuel on site.

Malinov also highlighted on the Hydrogen Transmission Infrastructure in Bulgaria. A project developed by Bulgartransgaz EAD and included in the European Commission's list of projects of common interest to the EU in November 2023. The planned infrastructure consists of a new pipeline with a length of approximately 250 km and two compressor stations in the area of Dupnitsa and Kulata. The new infrastructure will allow bi-directional transmission of both domestically produced hydrogen and hydrogen from Greece. Bulgartransgaz EAD is developing options for the development of the second phase of the hydrogen network, including an expansion in the country and ensuring interconnection with the future hydrogen transmission infrastructure in Romania. "The hydrogen transmission infrastructure of Bulgartransgaz will play a key role in the implementation of the EU's priority corridor for the transmission of green hydrogen from South-Eastern to Central Europe," Malinov added.