As demand accelerates for scalable, cost-effective hydrogen, Eclipse Energy and Wood have signed a memorandum of understanding (MOU) to collaborate on the commercialization and global deployment of subsurface hydrogen production.
The partnership aims to scale "subsurface hydrogen," a process that uses microbiology and existing oilfield infrastructure to generate fuel at a lower cost than traditional greenfield projects. The move comes as the energy industry faces mounting pressure to find economically viable ways to produce low-carbon hydrogen.
Eclipse Energy CEO Prabhdeep Singh Sekhon said the approach treats the subsurface as a "frontier" rather than a legacy burden. "By converting end-of-life oil fields into productive hydrogen assets, we can deliver a pathway that is both economically and operationally viable," Sekhon said.
Under the memorandum of understanding, Wood will provide engineering design and advisory services, including life-cycle assessments and analysis of the levelized cost of hydrogen. Eclipse will lead technology development alongside its existing execution partner, Weatherford.
"This technology has the potential to extend the life of mature assets and oil fields," said Dan Carter, Wood’s president of consulting.
The companies are currently progressing multiple projects and expect to publish data on carbon intensity and production costs in the first half of this year. While clean hydrogen is often criticized for its high capital requirements, Eclipse claims its model of repurposing infrastructure challenges the "premium" price tag usually associated with the fuel.