PERTH (miningweekly.com) – ASX-listed Hazer Group has inked a memorandum of understanding (MoU) with Canadian integrated energy company Suncor Energy and energy provider FortisBC Energy to develop a 2 500 t/y low carbon emission hydrogen production facility based on the Hazer Technology.
The proposed hydrogen project will process natural gas feedstock to produce 2 500 t/y low carbon emission hydrogen and approximately 9 000 t of synthetic graphite by-product.
Under the MoU, Hazer, Suncor and FortisBC have agreed to work collaboratively to develop the project through an initial feasibility study, securing funding arrangements for the project, and to conclude the binding agreements necessary to establish the project consortium and implement the project.
Suncor will lead the development of the project through the initial feasibility study, engineering, and construction phases of the project, and on completion, will operate the facility.
FortisBC for its part, will supply natural gas feedstock to the project and will purchase the hydrogen produced from the facility. Hazer will supply the Hazer Process technology, lead engineering relating to the core Hazer technology components, and manage supply of catalyst to the project.
The feasibility study stage of the project will start this month with the award of an engineering services contract. The initial high-level schedule for the project targets a final investment decision in 2023, with operations targeted to start in 2025.
As part of the project collaboration, Suncor, FortisBC and Hazer have committed to enter negotiations for a technology access agreement under which Suncor and FortisBC will have exclusive access to the Hazer Technology for further development and deployment in Canada and Colorado, in return for a royalty payment regime and commitments to support the deployment of the Hazer Technology.
“We are delighted to enter into this collaboration with Suncor and FortisBC, two leading Canadian energy companies committed to building new business opportunities in decarbonisation. The proposed hydrogen project will materially advance the Hazer technology building on the work that we are doing at the current Hazer commercial demonstration project at Woodman Point in Perth, Australia,” said Hazer CEO Geoff Ward.
“Canada is an excellent jurisdiction for the Hazer technology, with strong platforms and incentive programmes to drive decarbonisation action, access to a well-priced low carbon intensity electrical grid and strong demand for low-carbon energy across power, heating and industrial sectors. We are excited to work with Suncor and FortisBC to develop this project.”