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Hy2gen Canada awarded block of hydropower for hydrogen and ammonia production

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Hy2gen Canada awarded block of hydropower for hydrogen and ammonia production
(photo courtesy Hy2gen)

Hy2gen Canada Inc., the Canadian subsidiary of green hydrogen producer Hy2gen, has been selected, subject to agreement with Hydro-Québec, to get a block of hydroelectricity for a green hydrogen and green ammonia production plant in Baie-Comeau.

The electricity will be supplied by Hydro-Québec and is a pivotal milestone for the Courant project as this marks the point where front end engineering can begin and the final investment decision (FID) is within reach. 

If the FID is positive, Hy2gen plans to start construction of the green ammonia plant in the second half of 2026, with first green ammonia production scheduled for 2029, depending on Hydro-Québec’s connection schedule.

The steady electricity supply from a hydroelectric-based power grid will allow for constant operation of the electrolysis process, in which water is broken up into oxygen and hydrogen. Together with nitrogen produced on site, this green hydrogen will be turned into green ammonia. Courant’s location appeals with short transport routes to off-takers where the green ammonia will be used to decarbonize chemicals production, enabling the transition to a sustainable and emission-neutral industry.

“We are honored by the Quebec government’s decision to award a block of energy to our Courant project in Baie-Comeau,” said Cyril Dufau-Sansot, chief executive officer of Hy2gen. “This recognition is a vote of confidence in our vision and commitment to producing green hydrogen in Quebec. This is a giant step forward for Hy2gen Canada and the renewable energy industry, enabling us to make a significant contribution to decarbonizing the economy and achieving Quebec’s ambitious sustainable development goals.”

Through its global subsidiaries, Hy2gen aims to become the largest and most reliable supplier of renewable hydrogen. Since 2023, Hy2gen has been producing green hydrogen at its plant in Werlte, Germany.

Hy2gen AG, based in Wiesbaden, Germany, develops, finances, builds and operates plants for the production of renewable hydrogen and hydrogen-derived “e-fuels” — green ammonia, e-methanol and sustainable jet fuel. The company has 12 GW of electrolysis-based projects under development in Germany, France, Norway, Canada and the U.S.

Hy2gen benefits from strategic and financial partnerships. These include Swiss commodities trader Trafigura, French technology and engineering company TechnipEnergies, CDPQ, French sustainable investment manager Mirova and the €2 billion Hy24 infrastructure fund. In early 2022, Hy2gen raised €200 million from investors.