Tallgrass takes control of New Mexico clean hydrogen conversion project

US oil and natural gas pipeline operator Tallgrass Energy LP on Monday said it has acquired a 75% membership interest in hydrogen-to-power project developer Escalante H2 Power (EH2 Power).

The target entity is developing a project to convert a retired coal-fired plant near Prewitt, New Mexico, into a clean hydrogen-fuelled power generation station. According to the statement, the project marks the world's first repurposing of a coal-fired plant to hydrogen.

Tallgrass has purchased the stake from Denver-based Brooks Energy Company for an undisclosed sum. The midstream energy company explained that acquisition supports its hydrogen development and clean energy infrastructure ambitions.

Newpoint Gas LLC will keep a 25% membership interest in EH2 Power and will partner with Tallgrass in the conversion project.

“Building on Newpoint’s work, Tallgrass brings strong technical expertise to the project. Of equal importance, Newpoint and Tallgrass share the goal of advancing next-generation hydrogen technologies and offering critical decarbonized energy solutions through the Escalante Station,” said Wiley Rhodes, CEO of Newpoint Gas.

The retired facility is owned by Tri-State Generation and Transmission Association Inc.

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