Hydrogen fueled internal combustion engines have potential for high thermal efficiencies; however, high efficiency conditions can produce high nitrogen oxide emissions (NOx) that are challenging to treat using conventional 3-way catalysts. This work presents the results of an experimental study to reduce NOx emissions while retaining high thermal efficiencies in a single-cylinder research engine fueled with hydrogen. Specifically, the effects on engine performance of the injection of water into the intake air charge were explored. The hydrogen fuel was injected into the cylinder directly. Several parameters were varied during the study, including the amount of water injected into the intake charge, the amount of fuel injected, the phasing of the fuel injection, the number of fuel injection events, and the ignition timing. The results were compared with expectations for a conventionally operated hydrogen engine where load was controlled through changes in equivalence ratio. With water injection into the intake air charge, the NOx emissions were reduced by 87% with a 2% penalty in fuel consumption. At a threshold of 90 parts per million (ppm) of NOx, the maximum load was increased by 23.9%.