The letter indicates the Project will be advancing through the next stage, with the interdepartmental environmental assessment screening committee recommending the submission of an Environmental Impact Statement (“EIS”) for the Project.

EVREC remains committed to the responsible development of the Project and is eager to continue collaboration with stakeholders, regulators, and the public throughout the next phase of environmental review. Through the EIS, EVREC will provide further detailed information about the Project in various areas, including Project scope, water resource management, air quality and emissions, flora and fauna, and Project component locations, to name a few.

“We are appreciative of the direction taken by the Department of Environment and Climate Change and, with the support of the Department, EVREC is fully committed to providing detailed information, ensuring the highest standards of integrity and transparency in every aspect of our work,” said J. Colter Eadie, CEO of Abraxas Power. “The EIS is an essential part of our approach, and we are eager to maintain open, ongoing engagement with stakeholders and regulators while continuing to work on refining and advancing all aspects of the Project.”

Eadie continued, “This Project is a key driver for sustainable energy and economic growth. It will not only contribute to global clean energy solutions but also create high-skilled jobs, stimulate local economies, and strengthen our partnerships with communities across the region. We look forward to continuing our collaborative efforts to responsibly bring this visionary project to life.”

EVREC is a Power-to-X (P2X) project that was awarded access to over 300 square kilometres of crown lands by the Province of Newfoundland and Labrador in 2023 for EVREC’s use in the development of its project in Central Newfoundland. EVREC will include up to 3+ gigawatts (GW) of onshore wind capacity with associated energy and molecular storage to power behind-the-meter green hydrogen (H₂) and green ammonia (NH₃) production. The Project anticipates generating ~200,000 tons of green H₂ and ~1,000,000 tons of green NH₃ annually. EVREC aims to have its own dedicated port infrastructure to export its products to global markets.

EVREC has significantly advanced the Project through pre-construction activities which include engineering, wind resource measurement, and environmental assessment processes, including environmental data collection, and public and stakeholder engagement. The final Project design is subject to these ongoing assessments and activities.

EVREC’s total capital investment is expected to be CAD$12 billion. According to an Economic Impact Assessment published by Jupia Consulting, when combining both CAPEX and OPEX economic activity, the project is expected to:

• Boost provincial GDP by CAD$7.8 billion over the 34-year life of the project (in 2024 dollars), excluding the GDP impacts arising from spending the tax/royalty revenue

• Contribute CAD$3.1 billion employment income in Newfoundland and Labrador

• Support 10,900 person years of employment during the four years of construction and over 21,600 over the 34-year operating period

• Boost annual household spending in NL by over CAD$2.2 billion

• Contribute CAD$220 million in tax revenue to municipal governments over the 38-year period (CAPEX and OPEX phases). The provincial government will receive an estimated CAD$8 billion and the federal government another CAD$1.6 billion just from the in-province activity.

EVREC’S Environmental Assessment Registration can be found at:

Botwood and Area EVREC Green Energy Project - Environment and Climate Change (gov.nl.ca)

Gasunie and Vopak Started Market Consultation on Possibilities for LNG, Hydrogen and CO2 at EemsEnergyTerminal in Eemshaven, the Netherlands