Infinite Green Energy (IGE) recently announced that it has partnered with the multinational construction and trading giant, Samsung C&T on the Company's Northam Hydrogen Project "MEG HP1."
The MEG HP1 project, located near the Western Australian town of Northam, involves utilising solar power to electrolyze water into "green hydrogen", 100% owned by IGE and spearheaded by Stephen Gauld and Peter Coleman.
Infinite Green Energy CEO Stephen Gauld and chairman Peter Coleman.
According to Stephen Gauld, the CEO of IGE, the Company is currently in the process of involving several partners in the Northam project, resulting in a decrease in its ownership stake to around 40%. Samsung is the first of those partners, set to acquire a stake of an undisclosed size and for an undisclosed sum.
Before the end of 2023, the partners involved in the Northam project are aiming to make a final investment decision (FID) on the project's first phase, which is projected to cost $110 million to construct.
On Tuesday, the green hydrogen sector received positive development as the European Union (EU) established a formal criterion for producing hydrogen to qualify as "green."
A critical aspect of the new criteria was that beginning in 2028, "green" hydrogen initiatives must be powered by supplementary or novel renewable energy sources. This regulation was implemented to prevent the expansion of the green hydrogen industry from diminishing the power generated by current renewable energy assets that would otherwise be utilised for the power grid instead of hydrogen production.
According to Gauld, although IGE purchased the Northam Solar Farm from Carnegie Clean Energy, the Company is entirely in favor of Europe's new hydrogen standards and intends to utilise new renewable energy sources to power its Arrowsmith project.
"Our flagship Arrowsmith project is a prime example, with approximately 90% of its annual power being supplied from oversized onsite renewables"
Stephen Gauld, CEO, Infinite Green Energy
“The costs to green up grid energy through large-scale generation certificate [LGC] offsets are significant. A project purchasing 100% electricity from the grid and greening through LGCs will be uneconomical without significant government subsidies.”
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