STORAG ETZEL and EnBW Partner to Expand Hydrogen Storage at Etzel

Listen to this article: 2 mins
STORAG ETZEL and EnBW partner to develop hydrogen storage caverns at Etzel.

STORAG ETZEL GmbH, a leading provider of cavern storage facilities, has entered into a partnership with EnBW Etzel Speicher GmbH, a subsidiary of EnBW, to develop and operate large-scale hydrogen storage caverns at the Etzel site. This is a significant step in expanding Germany’s hydrogen infrastructure.

The project includes constructing multiple underground caverns with a combined geometric volume exceeding one million cubic meters. Additionally, EnBW’s subsidiary will have the opportunity to plan a new above ground hydrogen facility within STORAG ETZEL’s premises, further strengthening its presence at the Etzel site, where it already operates a natural gas storage facility.

Strategic Importance for Hydrogen Supply in Europe

The Etzel hydrogen storage site will play a vital role in the North Sea-Benelux corridor, helping power southwest Germany’s energy transition. However, a final investment decision depends on the establishment of a regulatory framework that ensures long-term financial viability.

Peter Bux, Managing Director of EnBW Etzel Speicher GmbH, emphasized the need for political and regulatory support, said, “A final investment decision now requires a regulatory and legal framework that enables the hydrogen storage business model. In particular, securing the initial high investments over the long operating period cannot yet be realised on the market in the foreseeable future.”

Also read: ADNOC Signs LNG Agreement with EnBW for Ruwais Project

Etzel’s Role in the Hydrogen Market Expansion

Boris Richter, Managing Director of STORAG ETZEL GmbH, highlighted the site’s importance in Europe’s hydrogen strategy, noting that efforts are underway to make the cavern facility “H2-ready by 2027.” Plans include both constructing new caverns and converting existing oil and gas caverns for hydrogen storage.

The Etzel site currently hosts 75 caverns for oil and gas storage, with 24 caverns identified for potential expansion. Two caverns are already undergoing hydrogen storage testing. Thanks to Etzel’s ideal geology, each cavern can hold up to 800,000 cubic meters, storing 200-250 GWh of hydrogen efficiently.

Hydrogen storage will play a vital role in transitioning toward a climate neutral energy system, particularly in supporting industrial decarbonization. STORAG ETZEL and EnBW are building large scale hydrogen storage to ensure a stable, reliable hydrogen market for Germany and Europe’s energy transition.

Etzel’s cavern field has the potential to shape the hydrogen economy, ensuring reliable energy supply while advancing Germany’s sustainability and climate goals.

Energy Transfer Secures Agreement to Supply Natural Gas for CloudBurst’s Texas AI Data Center

Listen to this article: 2 mins
Energy Transfer partners with CloudBurst Data Centers to supply natural gas to a new AI data center in Central Texas, supporting high-energy demand.
Energy Transfer signs a deal to supply natural gas to CloudBurst Data Centers’ new AI-focused facility, helping meet growing data center energy needs.

Energy Transfer LP has announced a long-term agreement with CloudBurst Data Centers, Inc., based in Denver, to supply natural gas to CloudBurst’s flagship AI-focused data center development in Central Texas. The deal marks Energy Transfer’s first commercial arrangement to directly supply natural gas to a data center.

Natural Gas Supply and Project Details

Energy Transfer will supply Oasis Pipeline to CloudBurst’s new data center facility near San Marcos, Texas with 450,000 MMBtu of daily natural gas supplies. The natural gas should generate up to 1.2 gigawatts of electricity to support the cloud’s data center beginning in the third quarter of 2026. The project is subject to CloudBurst obtaining a final investment decision later this year.

Energy Transfer’s Strategic Position

This deal sets the company strategically as the leading natural gas supplier to the data center industry. With over 105,000 miles of natural gas gathering and transportation pipelines along with storage facilities having a combined capacity of nearly 236 billion cubic feet, Energy Transfer is well-poised to meet the growing energy demands of the data centers and the power generation facilities.

Additionally, the company engages in discussions with various data center developers and anticipates this agreement will become the first of many for providing, storing, and moving natural gas all over the country.

Also read: Energy Transfer and Chevron Sign 20-Year LNG Supply Deal for Lake Charles Project

CloudBurst’s Executive Chair, Cynthia Thompson, said, “We are very excited about our close relationship with Energy Transfer and feel extremely confident in their ability to provide redundancy through their vast pipeline network and storage capacity.”

She added, “In addition, we will work closely with Energy Transfer to identify additional potential data center sites, on or close to their strategic natural gas pipeline network, using our proprietary site selection software.”

This agreement signifies a crucial step in CloudBurst’s efforts to expand its AI-focused data center operations and also supports the increasing demand for energy in the data center industry.