Worley Secures Five Year EPCM Contract for Denmark’s Hydrogen Backbone

Worley secures five-year EPCM contract for Denmark’s hydrogen backbone

Worley Limited (ASX: WOR) has been awarded a five-year Engineering, Procurement and Construction Management (EPCM) services contract from Energinet Brint A/S to support Phase 1 of the Danish Hydrogen Backbone pipeline. The Worley Danish Hydrogen Pipeline Contract establishes the company’s presence in Europe’s emerging hydrogen infrastructure market, with commissioning currently expected by late 2030.

The project will create a national hydrogen transmission network for Denmark, linking large-scale green hydrogen production from wind and solar to Germany and wider European markets. This positions Worley within a foundational project supporting Europe’s energy supply transition.

What the contract involves

The Worley Danish Hydrogen Pipeline Contract encompasses both new construction and conversion of existing infrastructure. Under the agreement, Worley will provide EPCM services for approximately 41 km of new hydrogen pipeline and the conversion of approximately 89 km of existing natural gas pipeline, together with adjacent infrastructure supporting Denmark’s future hydrogen network.

The dual scope demonstrates Worley’s capability in both greenfield and brownfield hydrogen infrastructure, a key growth area as Europe repurposes gas assets for clean energy transmission. The conversion component represents a cost-effective approach to building out hydrogen networks by leveraging existing pipeline corridors and rights-of-way.

Why hydrogen pipelines matter for Europe’s energy transition

The Danish Hydrogen Backbone is designed to link Danish green hydrogen production, generated from wind and solar resources, to Germany and broader European markets. Green hydrogen (produced through electrolysis powered by renewable electricity) requires dedicated pipeline infrastructure separate from natural gas networks due to hydrogen’s unique properties.

Connecting Denmark to Germany creates critical export pathways for clean energy. Denmark possesses substantial offshore wind capacity, positioning it as a potential major hydrogen producer. Germany, as Europe’s largest economy, has significant industrial demand for hydrogen to decarbonise sectors such as steel production, chemicals manufacturing, and heavy transport.

Europe is investing heavily in hydrogen networks to reduce reliance on fossil fuels and meet climate targets. The European Commission has identified hydrogen infrastructure as a strategic priority, with multiple cross-border pipeline projects in development. Pipeline transport offers the most economical method for moving large volumes of hydrogen over medium to long distances.

Worley’s involvement in the Danish Hydrogen Backbone positions the company at the centre of Europe’s hydrogen buildout, a market expected to see significant capital deployment over the coming decade as countries implement their hydrogen strategies.

Worley’s global delivery model in action

The project will be led from Denmark and supported by Worley’s teams from other Nordic locations, the UK, and the company’s Global Integrated Delivery team in India. This integrated approach allows customers to access global expertise whilst maintaining local project leadership.

Worley has stated that customers benefit from the ability to leverage the company’s global expertise in EPCM delivery. The cross-border team structure enables efficient resource allocation, with specialised technical capabilities drawn from multiple offices as required throughout the project lifecycle.

The global delivery model strengthens margins and scalability for large infrastructure contracts. By deploying teams cost-effectively across jurisdictions, Worley can maintain competitive pricing whilst delivering complex projects that require diverse technical capabilities. This approach has become increasingly important as infrastructure projects grow in scale and technical complexity.

CEO commentary

Chris Ashton, Chief Executive Officer

“This contract advances a foundational project in Europe’s emerging hydrogen economy and demonstrates Worley’s EPCM capabilities for critical infrastructure at scale. It also strengthens our position in the Nordics – creating a platform for long-term growth with customers advancing decarbonization across the region.”

Ashton’s reference to creating “a platform for long-term growth” signals this contract represents more than a one-off project win. It positions Worley to pursue additional hydrogen infrastructure work in the Nordic region as Denmark and neighbouring countries advance their hydrogen strategies.

Strategic positioning and outlook

The Danish Hydrogen Backbone contract strengthens Worley’s position in the Nordic region and validates the company’s capabilities in hydrogen infrastructure at scale. Worley, headquartered in Australia and listed on the Australian Securities Exchange (ASX: WOR), describes itself as bridging two worlds by moving towards more sustainable energy sources whilst helping to provide the energy, chemicals, and resources needed now.

The contract aligns with Worley’s stated strategy in several ways:

• Expands European hydrogen credentials: Establishes a reference project in a key European hydrogen corridor, potentially supporting bids for similar infrastructure work across the continent.

• Builds customer relationships in decarbonisation sector: Energinet Brint A/S is a major player in Denmark’s energy transition, offering opportunities for additional project awards.

• Demonstrates EPCM capabilities at scale: Large-scale infrastructure projects showcase Worley’s ability to manage complex, multi-year engineering and construction programmes.

Winning marquee contracts in hydrogen infrastructure validates Worley’s pivot toward sustainable energy services, a key narrative for long-term investors evaluating the company’s position in the global energy transition. The five-year contract duration provides revenue visibility and demonstrates customer confidence in Worley’s delivery capabilities.

As European countries implement hydrogen strategies and allocate capital to transmission infrastructure, Worley’s established presence positions it to capture additional market share in this emerging sector.

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