Canadian govt backs GW-scale wind-to-hydrogen project

The Canadian government will support a massive project set to create Canada's first commercial-scale green hydrogen production facility with CAD 128 million (USD 94.2m/EUR 86.9m) in debt financing.

The funding will be provided by Export Development Canada (EDC) to project developer World Energy GH2. The latter announced the signing of definitive agreements for the credit facility on Wednesday.

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The fresh proceeds will support Project Nujio'qonik through to its financial close, enabling the installation of a huge complex with 1.5 GW of electrolysers on the west coast of Newfoundland and Labrador. The site will be fed with electricity from 4 GW of onshore wind farms to produce 210,000 tonnes of green hydrogen annually, or roughly 1.2 million tonnes of green ammonia. In the initial phase, the facility will have a green ammonia output for export of some 400,000 tonnes.

World Energy GH2 last summer secured 108,000 ha (266,000 acres) of crown land to build the complex. It already owns the Port of Stephenville and will use some of the land for the project.

SK ecoplant, part of South Korean conglomerate SK Group, owns a 20% stake in Project Nujio'qonik following a USD-50 million investment in 2023.

(CAD 1.0 = USD 0.736/EUR 0.679)