PERTH (miningweekly.com) – ASX-listed TNG has inked a project development agreement with Malaysia-based AGV Energy & Technology to jointly and exclusively develop green hydrogen projects in Australia using the HySustain production technology.

AGV Energy has developed HySustain in conjunction with its global development partners to produce green hydrogen and oxygen using the electrolysis of demineralised water and 100% renewable energy.

The technology is well advanced, based on the results from a test plant in Europe to validate its operational and commercial feasibility, TNG said on Friday.

The two companies in June of this year signed a heads of agreement to collaborate on the proposed integration of vanadium redox flow batteries with green hydrogen production technology, and TNG said on Friday that the formal agreement marked another key strategic step in the implementation of its green energy strategy.

TNG and AGV Energy will jointly scope, evaluate, plan and execute HySustain project opportunities in Australia through an incorporated joint venture (JV) company on the basis of an agreed development framework.

The JV’s ultimate objective is to develop multiple HySustain production plants around Australia to diversify production and service green hydrogen demand and emerging regional hydrogen markets, with a focus on Australia, Japan and South Korea.

AGV Energy is well advanced in discussions with potential hydrogen off-takers in the region, including potential groups who have expressed preliminary interest in Australian green hydrogen off-take, TNG told shareholders.

“Australia is well positioned to become a leader in the emerging global shift to hydrogen, with ample potential for cost competitive renewable energy, strong existing trade links to key Asian energy markets, and an impressive track record in large-scale development and industrialisation of major energy industries,” the company said.

MD and CEO Paul Burton said that the JV formed an important part of TNG’s programme to reduce its carbon emissions and undertake proactive measures to embrace world-leading environmental and social governance standards and practices.

“The momentum towards a hydrogen-based economy continues to grow in Australia, and we are looking forward to the opportunity to play a role in this exciting sector through our association with AGV Energy.”