Oklahoma-based Lone Cypress Energy Services has completed a front-end engineering design study for its Lone Cypress Hydrogen Project, which it plans to build at Elk Hills Field in Kern County, California.

The project is to use steam methane reformation with an integrated post combustion carbon capture system and hydrogen liquefaction to create 65 metric tonnes of blue hydrogen product per day. With the completion of the study, Lone Cypress says it is confident that if built, the “facility will generate the most cost-competitive low-carbon liquid hydrogen in the Western United States”.

Partnering on the project is Carbon TerraVault JV Holdco, itself is a joint venture between California Resources Corporation and Brookfield Renewable, which is developing carbon dioxide sequestration assets near Elk Hills Field. A final investment decision is expected by the end of this year, with an anticipated start-up in the fourth quarter of 2025.