02:28 PM EDT, 09/20/2024 (MT Newswires) -- Equinor ( EQNR ) said Friday it will no longer pursue plans to export hydrogen from Norway to Germany because the pipeline project is not deemed viable.

The Norwegian energy company in 2023 signed a memorandum of understanding with German energy supplier RWE to jointly develop large-scale energy value chains. The deal included building facilities in Norway to produce low-carbon hydrogen from natural gas that will be brought to Germany via a pipeline.

"Without a financial framework for the hydrogen pipeline, we have made the decision to terminate the technical maturation of the Clean Hydrogen to Europe project, which includes the low-carbon hydrogen production facility planned in Norway and the export pipeline to Germany," Equinor ( EQNR ) spokesperson Magnus Frantzen Eidsvold told MT Newswires.

Equinor ( EQNR ), however, continues to develop other hydrogen initiatives and projects in its hydrogen portfolio, which is still early phase.

"In addition to regulatory framework, the main challenge is to get the necessary customer base and that there is solid long-term demand for hydrogen to underpin projects," Eidsvold said.

RWE could not be reached for comment.

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