Jason Arunn Murugesu<\/span>North East and Cumbria<\/span><\/p>\n<\/div>\n <\/span><\/div>\n<\/div>\n A government decision on whether a hydrogen plant can be built has been delayed for a second time amid a row over the land which is also wanted for an artificial intelligence (AI) data centre.<\/p>\n Energy company BP sought a development consent order, which is required for nationally significant infrastructure projects, for the Teesworks site in Redcar.<\/p>\n The deadline for a decision had been Thursday, but the government extended this to 4 December to “allow time to consider the information further”, the Department for Energy Security and Net Zero (DESNZ) said.<\/p>\n BP acknowledged the delay while Teesworks Ltd, which wants to build the data centre, <\/b>said it recognised “thorough consideration” was needed.<\/p>\n<\/div>\n DESNZ said its decision would be made in the “national interest”. <\/p>\n If the hydrogen plant is approved, BP would be given the power to compulsorily purchase the land it needs.<\/p>\n But Teesworks Ltd <\/b>wants to build a giant AI data centre on the site instead and received planning permission from Redcar and Cleveland Borough Council in August<\/a>. <\/p>\n The data centre would be housed on a specific patch of land BP has already earmarked for its blue hydrogen plant, H2Teesside<\/a>.<\/p>\n BP previously said it was willing to have discussions aimed at finding a solution “that would enable both developments to co-exist”.<\/p>\n<\/div>\n Teesworks Ltd chairman Chris Musgrave said: “While the government has deferred its decision on BP’s Development Consent Order for H2Teesside, we recognise that major projects of this scale require thorough consideration and due process.”<\/p>\n Teesworks is run as a joint venture between the publicly-owned and funded South Tees Development Corporation, led by the Tees Valley Combined Authority (TVCA), and two Teesside businessmen, Martin Corney and Mr Musgrave.<\/p>\n The men initially owned 50% of the shares in Teesworks, but that increased to 90% in 2021 with the remaining 10% staying in public hands.<\/p>\n The initial deadline for the DCO decision was 28 August. <\/p>\n<\/div>\n<\/div>\n![\"Teesworks](\"https:\/\/ichef.bbci.co.uk\/news\/480\/cpsprodpb\/ee21\/live\/a1d61040-13be-11f0-b1c4-498f305c3d3a.jpg.webp\")
Teesworks<\/span><\/div>\n<\/div>\n![](\"https:\/\/static.files.bbci.co.uk\/bbcdotcom\/web\/20251021-134202-667692b2c6-web-2.32.2-1\/grey-placeholder.png\")
![\"BP](\"https:\/\/ichef.bbci.co.uk\/news\/480\/cpsprodpb\/667b\/live\/2e40a740-556d-11ef-83e3-9df5ffa02a25.png.webp\")
BP<\/span><\/div>\n<\/div>\n