Valued at more than $150 million USD, the agreement involves the sale of HEC’s patented equipment and services designed to produce and store hydrogen
MIAMI, FLORIDA, US — Hydrogen Engine Center, Inc. (HEC), a publicly-traded company listed on the OTC exchange (OTC: HYEG), announced that it has agreed to sell its equipment and services capable of producing through distributed plants up to 65,000 m3/h or approximately 50,000 metric tons per year of green hydrogen to Enceladus Development Corporation, a newly created private equity investment firm.
Valued at more than $150 million USD, the agreement involves the sale of HEC’s patented equipment and services designed to produce and store hydrogen created via electrolysis. The hydrogen will be used by Enceladus’ clients to enhance a refinery’s capacity to produce liquid fuels; support the delivery of reactive electric power in conjunction with a renewable energy power plant; and, depending upon market conditions, sold to off-takers in the transportation sector. HEC anticipates selecting an Engineering, Procurement and Construction contractor by the end of 2021 Q3.
As a part of the agreement, warrants in HYEG are to be made available to Enceladus at a fixed price of $0.75 per share exercisable within one year. Shares of HYEG are currently trading at USD $0.3500 – $0.3795.
“We are excited that Enceladus and its clients have the vision to see the value of our equipment,” said Pedro Blach, Chief Executive Officer for Hydrogen Engine Center. “HEC-TINA’s PEM electrolysis system is the only one in the market capable of turning water into hydrogen and oxygen at direct high pressures greater than 3,000 Psi without additional compression, which is one of the highest cost contributors to high-pressure hydrogen production using electrolysis, making “HEC-TINA” systems one of the most efficient hydrogen energy systems,”.
We hope that this purchase is only the beginning of a much deeper investment into HEC and its affiliates,” said Larry Haddock, Director of Enceladus Development Corporation. “As more countries and companies seek to decarbonize their footprints, we anticipate, Enceladus is excited to fund projects that support and advance the use of green hydrogen,” Haddock said.
According to Markets™, the hydrogen generation market is expected to be worth $201 billion by 2025.