Accelerated development of turquoise hydrogen project is now on the cards as Pure Hydrogen has secured an agreement with Turquoise Group Pty Ltd. The latter will invest $1.2 million USD and assume management of the Turquoise Hydrogen project, targeting the technology’s commercialization in collaboration with French plasma technology firm, Plenesys. Pure Hydrogen will maintain a 40% non-dilutable stake in Turquoise Group for an estimated commercialization phase of 3.5 years.
In addition, Pure Hydrogen will hold the exclusive rights to acquire hydrogen produced by Turquoise Group within Australia for 20 years. The pricing will be based on a sliding scale linked to the value of the carbon offtake products. A demonstration pilot plant, set to be commissioned in late 2023 at Turquoise Group’s Brisbane facilities, will decompose methane into hydrogen and solid carbon. The goal is to reform the solid carbon into high value carbon products like graphene, with net-zero carbon emissions.
The Plenesys-designed AC plasma torch system, which will be the ‘engine’ of the demonstration pilot plant, is scheduled to arrive at Turquoise Group’s Brisbane facilities in Q3 2023. Following a successful demonstration, Turquoise Group plans to construct commercial modules that can be installed wherever methane gas is accessible.
Sydney–Hydrogen Corporation Limited announced its agreement for the funding to progress the development of a Turquoise Hydrogen (Methane Pyrolysis) technology. Under the terms of the agreement, Turquoise Group will make an initial $1.2m USD investment to advance the development of the project. Additional funds will be raised for a commercial module to be advanced in 2024. Pure Hydrogen will retain a 40% stake in TG for the first 3.5 years via a non-dilution mechanism and maintains the right to appoint a representative to the TG board.
Pure Hydrogen’s Managing Director, Scott Brown, expressed his satisfaction at the funding of the Turquoise Hydrogen Project. This accelerates the next phase of the turquoise hydrogen manufacturing facility in Australia, offering Pure Hydrogen a 40% undiluted shareholding for 3.5 years, while maintaining significant potential upside exposure to this unique development project.
“We will have rights to purchase all of the hydrogen offtake produced and not consumed by TG. This agreement showcases the potential value of the development assets, and the $1.2m USD in funding is expected to provide enough capital to mature the project. Our ability to buy all future Australian hydrogen produced by the Turquoise Group strengthens our future as a low-cost hydrogen provider of choice to Australian customers in the transportation and industrial sectors,” stated Scott Brown.
Turquoise Group’s Chief Operating Officer, Andrew Thompson added, “We are thrilled to enter this agreement with Pure Hydrogen and look forward to the next stage of the growth of Turquoise Group. We are very confident in developing a commercial Turquoise Hydrogen process of converting methane to hydrogen and high-value carbon products, including Graphene. Once proven, we foresee significant opportunities to expand the company globally.”
The turquoise hydrogen project, being developed in collaboration with French plasma company Plenesys, is set to be accelerated and commercially de-risked under the terms of the agreement.
A demonstration pilot is currently being developed in Brisbane and is expected to be commissioned by late 2023. Once commissioned, TG will conduct comprehensive testing and optimization, aiming to increase the value of the solid carbon by reforming it into high-quality graphene products. When sufficient carbon value-add is proven, TG will proceed with the development of commercial modules to produce hydrogen and solid carbon products
Read the most up to date Fuel Cell and Hydrogen Industry news at FuelCellsWorks
