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Canadian Government and World Energy GH2 sign green hydrogen agreement

Published by , Editorial Assistant
Energy Global,

Seamus O’Regan, Canada's Minister of Labour and Seniors, has announced federal government support for Canada’s first commercial-scale green hydrogen / ammonia facility on the west coast of Newfoundland and Labrador. Export Development Canada (EDC), on behalf of the Government of Canada, and World Energy GH2 have signed definitive agreements in connection with a CAN$128 million (US$95 million) credit facility to support the development of Project Nujio’qonik through to its financial close of its long-term financing.

The credit facility will help finance the build out of clean power generation and clean hydrogen production that will advance Canada’s efforts and initiatives in pursuit of global decarbonisation. The agreement demonstrates Canada’s continuing material support of the Canada-Germany Hydrogen Alliance signed between the two countries at Project Nujio’qonik’s site in Stephenville, NL, in August 2022, and provides leadership for renewable green energy to be generated and exported to markets in Germany, Europe and around the world, as well as for domestic consumption.

Once complete, Project Nujio’qonik will produce approximately 210 000 tpy of green hydrogen (1.2 million t of green ammonia) with the first phase expected to produce approximately 400 000 t of green ammonia for export. Project Nujio’qonik’s green hydrogen and ammonia will be RFNBO-compliant (renewable fuels of non-biological origin), and will meet Europe’s criteria for green hydrogen.

Project Nujio’qonik’s first phase will create approximately 2200 direct construction jobs, 400 operations jobs, and 4200 indirect jobs.

“World Energy GH2 thanks EDC and the Government of Canada for its support in helping launch the green hydrogen industry here in Newfoundland and Labrador,” said Sean Leet, Managing Director and CEO, World Energy GH2. “This commitment from the federal government reflects the confidence we’ve built in Project Nujio’qonik, both here in Canada and internationally. By consistently achieving key de-risking milestones, we’ve confirmed that Project Nujio’qonik is one of the leading, commercial-scale green hydrogen projects in the world.”

“Project Njuio’qonik will surpass the highest global standards for emissions and sustainability, and is poised to deliver against Europe’s ambitious RePowerEU targets for green hydrogen,” said John Risley, Chair, World Energy GH2. “Meeting those targets will require continued, decisive action by the European Commission and its member states. We thank the federal government for their leadership and commitment to moving Canada forward as a leader in the global energy transition.”



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