Engineering and consulting firm Wood has been awarded the Front-End Engineering Design (FEED) contract for Storegga's Speyside Hydrogen project.

The project is set to play a crucial role in reducing carbon emissions for the numerous distilleries in the Moray region of Scotland, home to over 50 whisky producers.

The Speyside Hydrogen project has the potential to produce up to 25 tonnes of electrolytic green hydrogen daily, which could lead to a reduction of over 50,000 tonnes of carbon dioxide emissions annually. This initiative aligns with the Scottish Whisky Association’s target of achieving a carbon-neutral whisky industry by 2040, while also safeguarding jobs within the sector.

Christina Smitton, Speyside Hydrogen Opportunity Manager at Storegga, commented on the award: “Awarding Wood the FEED contract is a significant milestone for Speyside Hydrogen. Moray is rightly proud of its whisky heritage and now the industry has the chance to secure its Net Zero future with a project that boasts excellent access to renewable energy, robust transport infrastructure, and crucial supply chain expertise."

The FEED stage is essential for establishing a detailed plan and design for a project before construction commences. Wood's responsibilities include developing comprehensive engineering designs for the hydrogen production facility, creating detailed project schedules, conducting risk assessments, and ensuring compliance with relevant regulations. The FEED work began in January and is expected to be completed by the end of summer 2025, marking a significant step towards realising the project.

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David Swallow, Vice President Business Development, UK, Norway & Africa at Wood, added: “We are delighted to have been chosen by Storegga to deliver the FEED for this groundbreaking project. Wood’s extensive experience, capabilities, and innovative solutions in green hydrogen uniquely position us to excel in this emerging market. Our talented team will collaborate closely with Storegga to decarbonise one of Scotland’s most iconic industries, ensuring its sustainability and alignment with Scotland’s Net Zero ambitions.”

Scotland’s whisky industry is energy-intensive, supporting 41,000 jobs in Scotland and contributing £7.1 billion in Gross Value Added (GVA) to the UK economy. In 2022, the industry's scope 1 and 2 emissions were over 600,000 tonnes of CO₂. Green hydrogen is recognised by the Scottish Government as a vital clean energy solution, offering a sustainable alternative to fossil fuels that will enable distilleries to significantly reduce their environmental impact while maintaining production levels.

Storegga has assembled a collaborative team, known as the Moray Hydrogen Steering Group, to support and guide hydrogen developments like the Speyside Hydrogen project. The group includes Mott MacDonald, Moray Council, Highlands and Islands Enterprise, and the University of Highlands and Islands. The Steering Group coordinates the development of local skills and supply chain capabilities, essential hydrogen infrastructure, including production facilities, refuelling stations, and fleet conversions. Efforts are underway with Wood to ensure that, where possible, the necessary skills for the project’s construction are sourced locally.

In August 2024, the Scottish Government announced £3.1 million in funding for Speyside Hydrogen, recognising the socio-economic benefits the project aims to bring to the region, including approximately 100 new jobs associated with a fully built-out Regional Hydrogen Hub. Storegga has matched this investment, bringing the total project funding to over £6.2 million to date.

Speyside Hydrogen is committed to supporting the Scottish whisky industry in achieving a greener and more sustainable future, protecting a significant Scottish export and a key part of the nation’s heritage.