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24
August 2023
By James Stafford
Tech Breakthrough Makes $2.5 Trillion
Hydrogen Boom Possible
The U.S. government has announced a proposed $7
billion (for starters) on desperately needed breakthroughs in
clean hydrogen production.
The Department of Energy’s (DoE) biggest bet is on nuclear power
plants, which they are hoping to convert into North America’s premier
clean hydrogen producers.
Those billions of dollars are being poured into technological
innovation, lowering costs and scaling up the production of clean
hydrogen, including through the use of nuclear power plants in New
York, Ohio, Minnesota and Arizona.
For now, the majority of hydrogen in the United States is produced by natural
gas reforming in large central plants—an important step in the
energy transition. The end goal, however, is to produce hydrogen
without creating carbon emissions, and that’s what the federal
government’s $ 7 billion spend is all about.
At four nuclear plants across the country, scientists are trying to
perfect a process called “electrolysis” to create pure, clean
hydrogen. The process involves splitting water into pure hydrogen and
oxygen using high temperature electrolyzers. For now, however, the
process is prohibitively expensive and energy intensive.
That could make this recent breakthrough all the more significant …
GH Power has developed a unique renewable energy technology that
uses exothermic reactions to create three highly sought-after green
outputs: hydrogen, alumina (aluminum oxide) and exothermic heat,
killing three birds with one high-tech stone.
The hydrogen produced by the modular version of GH Power’s 2MW reactor
is pure and clean, with zero emissions, zero carbon and zero waste,
using only 2 inputs (recycled aluminum and water).
GH Power has been developing the new type of reaction for hydrogen
production over the past 7 years, and now it’s gearing up to flip the
switch on the first commercial reactor of its kind in Hamilton
Ontario, Canada.
Flipping the switch on this new reactor comes at a critical juncture
in the global energy transition. The Hydrogen
Council estimates that hydrogen will represent 18% of all energy
delivered to end users by 2050, avoiding 6 gigatonnes of carbon
emissions annually and turning around an approximated $2.5 trillion in
annual sales (not to mention creating 30 million jobs globally).
VISUALIZING A FUTURE POWERED
BY CLEAN HYDROGEN
GH Power’s reactor is self-sustaining, zero emission and is a net
producer of energy for consumption. It’s 100% clean and modular,
which means it can be assembled on site to power North America’s
industries for the first time with clean energy and cost competitive
with conventional fossil fuels.
It also produces green hydrogen, exothermic heat, as well as highly
valuable green alumina, which has numerous commercial applications
used for everything from lithium-ion batteries and LED lighting to
semiconductor production.
The GH Power process is
proprietary and breakthrough:
GH Power is planning to develop a plant which produces 11,700 Tonnes
of green hydrogen per year to fuel 30 MW combined cycle plant with a
net output of 27 MW.
For now, the DoE puts the cost of producing hydrogen from renewable
energy at about $5 per kilogram, which is about 3X
higher than the price of producing hydrogen from natural gas. The
DoE’s goal is to see clean hydrogen production costs decline by 80% to
$1 per kilogram in a decade.
By the company’s estimates, GH
Power’s reactor is already 60% cheaper than producing hydrogen by
electrolysis, and
it is a net producer of electricity to the grid. Its green alumina
co-product production costs are also over 85% cheaper than the most
commonly used processes currently used for alumina production that
rely on hydrochloric acid leaching and hydrolysis for alumina
production. This could be a
game changer in the decarbonization of the critical sector.
Finally, GH Power’s base 27MW net output plant design is forecast to
produce a carbon offset of 1.2 million tonnes annually (based on
displacing a coal-fired plant the same size)
The company has also had successful tests using scrap steel (iron) as
another metal fuel for hydrogen generation. The use of recycled
metals provides a scalable solution with a much lower costs basis at
under a $1/kg hydrogen. Scrap iron is the most widely available metal
fuel in most markets.
Not only is this a cost breakthrough, but it is a proprietary
technology that embraces the idea of a circular economy with zero
emissions.
The process uses recycled scrap aluminum as the key input. That
aluminum is then mixed with water through a proprietary reactor
designed to continuously operate to produce hydrogen, alumina and
exothermic heat (power) with zero emissions.
Scrap or recycled aluminum is widely available in almost every market,
and can be found for as little as $1.50/kg.
It’s a new technology that can run full circle from using recyclable
materials to help other companies, organizations, and industries to
meet their own net-zero commitments. And it’s all modular and brings
the energy to within the last mile of the energy user. For hydrogen,
it could be a huge competitive advantage to be able to build a plant
right where it’s needed, without massive hydrogen storage facilities
and without transportation needs.
FLIPPING THE SWITCH ON THE
FIRST REACTOR
GH Power and its team of engineers have already completed Phase 1
testing of their 2MW reactor in Hamilton, Ontario, and Phase 2 testing
began on June 30th.
Next step is to move into commercial operations and 24-hour continuous
operations.
Revenue generation is forecast to begin in the fourth quarter, and
then the future is all about scaling up from 2MW reactors to a 27MW
Net Output power solution.
The scaled-up 27 Net Output MW version of this reactor, planned for
the near future, will produce the same three green outputs which can
be blended with natural gas in a turbine. This could allow GH Power’s
solution to integrate with existing natural gas power plants and allow
companies to utilize existing assets while making a serious reduction
in CO2 emissions.
The world needs 520
million tonnes of hydrogen to achieve net-zero targets by 2050,
according to the International Energy Agency (IEA). Given the current
state of advancement with electrolysis for producing hydrogen and the
associated costs, we won’t make that goal without alternative
breakthroughs such as GH Power’s. And because this new reactor aims to
produce three green outputs, the contributions to zero-emissions goals
should be compounded far beyond the individual numbers.
This award-winning technology is the result of seven years of
painstaking research by world-class scientists and engineers, led by GH
Power CEO Dave White, a veteran engineer in the power generation
space. Combined, the GH Power team has, has well over a century of
power generation experience in the design, build and operation of
power plants, refineries, and other energy infrastructure.
Chief Engineer Ken Stewart has been designing and managing thermal
power plant and petrochemical processes for over four decades and
across eight different power plants in North America. COO
Gary Grahn brings to the table 25 years of international energy
experience, including in oil, gas, minerals, metals and utilities,
and CFO Anand Patel contributes a decade of real asset capital markets
experience, with over $4 billion in completed transactions, including
for renewable energy giant Brookfield Asset Management. Finally,
project development director Mike Miller offers more than 35 years of
experience infrastructure, private equity and development for top
companies along the energy supply chain, such as giant NextEra Energy.
GH Power has been working closely with Carleton University and is
the recipient of a $2.2-million grant from a joint German-Canadian
government program as part of Canada’s
alliance with Germany to bolster its hydrogen strategy. It’s a
feather in Canada’s cap as the country seeks to become a top global
supplier of clean hydrogen with a transatlantic supply chain.
The idea itself is in line with what world-renowned physicist Neil de
Grasse Tyson calls the ‘cosmic perspective.’ Large-scale green
hydrogen projects in existence today are only as clean as the energy
required to produce them and only as plausible as the cost required to
get to the end game. “The only practical solution for society to
reduce carbon emissions is to transition from 100% fossil fuels to
cleaner tech,” and one of the steps in tackling this is to blend
cost-competitive green hydrogen with fossil fuels and ramp up the
hydrogen content whenever possible,” noted Dave White, GH Power CEO.
Ballard Power Systems Inc. (NASDAQ:BLDP) has
firmly established its presence in the vanguard of the fuel cell
revolution. Their pioneering proton exchange membrane (PEM) technology
is powering various transportation sectors, ranging from buses to
trains. This makes Ballard not just a producer, but an influencer,
guiding the green transit narrative globally.
For investors, the scope of Ballard's influence translates into
potential growth. With the increasing emphasis on sustainable energy
and cleaner modes of transportation, Ballard’s technology is likely to
see an uptick in demand.
The broader vision of Ballard is shaping the industry's future
trajectory. Investors looking to align with a forward-looking company
would find Ballard’s approach and ethos resonating with global
sustainability goals.
FuelCell Energy Inc. (NASDAQ:FCEL) stands
out as a force of change in the stationary fuel cell power plant
market. Their focus on distributed power generation means they're
addressing the critical need for decentralized, efficient energy
sources.
Their products are engineered with a balance of commercial viability
and environmental responsibility. This dual approach makes their
solutions attractive in a market that demands both profitability and
sustainability.
For investors, FuelCell Energy presents an opportunity that's grounded
in present needs and future potential. Their dedication to curbing
emissions while improving energy efficiency aligns with global shifts,
promising potential returns and impact.
Bloom Energy Corporation (NYSE:BE) is
redefining the fuel cell landscape with their innovative solid oxide
fuel cells. Designed for on-site electricity generation, their
products aim to tackle inefficiencies associated with centralized
energy distribution.
This vision of decentralized power generation is crucial in an era
where energy security and efficiency are paramount. By providing
businesses and communities control over their power sources, Bloom
offers a solution that's both innovative and timely.
Bloom represents more than just a tech company. It's a glimpse into
the future of energy. Their relentless focus on technological
advancement and market responsiveness makes them a promising contender
in the renewable energy sector.
Plug Power Inc. (NASDAQ:PLUG) innovative
hydrogen fuel cell systems are carving a new path in the green energy
sector. Their solutions, aimed at replacing conventional batteries,
mark a transformative shift in energy storage and application.
Their ambition reaches beyond mere product development. With a mission
to redesign the energy value chain, they're reimagining how industries
approach power and sustainability. This comprehensive vision indicates
a long-term strategic plan, appealing to forward-thinking investors.
The commitment Plug Power demonstrates toward a sustainable energy
future makes it a critical player in the hydrogen space. As industries
transition, investors can anticipate a rising demand for Plug Power’s
trailblazing solutions.
Air Products and Chemicals,
Inc. (NYSE:APD) isn't new to the industrial gas scene. Yet,
their dive into the hydrogen sector is indicative of their ability to
innovate and adapt. By creating integrated hydrogen systems, they're
looking at the bigger picture of a sustainable energy ecosystem.
Their vast experience gives them an edge. Not many companies can claim
expertise in both production and distribution. With hydrogen poised to
be a key player in future energy scenarios, their end-to-end solutions
offer reliability and scalability.
Air Products and Chemicals presents a compelling narrative in the
hydrogen story. Backing a company with both heritage and foresight can
be a lucrative move, especially when the global momentum is tilting
towards hydrogen.
Linde plc (NYSE:LIN),
with its extensive history in the industrial gas domain, is making
commendable strides in the hydrogen space. Their approach is holistic,
focusing on every aspect from production to infrastructure,
underscoring a commitment that feels both deep and genuine.
Their existing global footprint offers them an advantage. They're not
just producing hydrogen; they're setting up infrastructure, partnering
on projects, and engaging in R&D to push the envelope further.
Linde offers stability and innovation in equal measure for investors.
Their vast experience combined with a proactive approach to the
hydrogen revolution paints a picture of steady growth and visionary
leadership.
Cummins Inc. (NYSE:CMI) might
be renowned for its engines and power solutions, but its foray into
hydrogen showcases adaptability and vision. They're not just adding a
new product line; they're rethinking the future of transportation and
power.
Their blended approach is their strength. By marrying their
traditional product offerings with innovative hydrogen solutions,
they're setting themselves up as a one-stop-shop for energy needs
across the board.
Investors eyeing Cummins will see a legacy brand that's refusing to
rest on its laurels. Instead, Cummins is evolving, making it an
attractive proposition for those looking for both stability and growth
potential.
Shell's (NYSE:SHEL) transition
narrative is both fascinating and instructive. Moving from a
traditional oil major to a diversified energy company, their hydrogen
initiatives reflect a broader shift towards sustainability and
innovation.
Their projects in the hydrogen domain, from refueling stations to
research collaborations, indicate a comprehensive and future-ready
strategy. Shell's pivot towards hydrogen is not an afterthought; it's
an integral part of their future roadmap.
For investors, Shell offers a dual advantage. The stability and
robustness of an established energy giant, combined with the agility
and foresight of a green tech firm, make it an enticing option in a
volatile energy market.
BP's (NYSE:BP) rebranding from 'British Petroleum' to 'Beyond
Petroleum' is symbolic of its evolution. Once a stalwart of the
traditional energy sector, it's now championing the green energy
revolution, with hydrogen being a key focus.
Their endeavors in hydrogen, be it through investments or
partnerships, showcase a progressive mindset. By positioning hydrogen
as a cornerstone of their future growth strategy, they're aligning
with global sustainability goals.
Investors considering BP are not just looking at an energy company;
they're looking at a future-focused entity that’s reinventing itself.
Their commitment to hydrogen signals long-term growth potential and a
readiness to shape the energy landscape of tomorrow.
By. James Stafford
**IMPORTANT! BY READING OUR CONTENT YOU EXPLICITLY AGREE TO THE
FOLLOWING. PLEASE READ CAREFULLY**
Forward-Looking Statements
This publication contains forward-looking information which is subject
to a variety of risks and uncertainties and other factors that could
cause actual events or results to differ from those projected in the
forward-looking statements. Forward looking statements in this
publication include that the US government is funding development of
hydrogen technologies; that billions of dollars are being invested in
clean hydrogen producers; that governments are aiming to help develop
carbon-free clean hydrogen solutions; that nuclear power plants are
being utilized to perfect electrolysis for creation of pure, clean
hydrogen; that hydrogen power will be utilized as a main source of
energy for the global economy in the future and replace fossil fuels
and other competing alternative technologies in the future; that GH
Power Inc.’s technology will be developed, commercially implemented
and achieve widespread market acceptance; that GH Power will complete
the development of a hydrogen reactor that will produce hydrogen 60%
cheaper than by electrolysis, become a net producer of energy to the
supply grid, co-produce alumina which is 85% cheaper than current
production methods; that GH Power’s technology will be revolutionary
in the decarbonization of the energy sector; that GH Power’s small
pilot model will be scalable at the commercial level in the proposed
reactor in Hamilton, Ontario, and will achieve the anticipated results
of clean, carbon-free energy production and related bi-products; that
GH Power can finance ongoing operations and development; that GH Power
can achieve its business plans and objectives as anticipated. These
forward-looking statements are subject to a variety of risks and
uncertainties and other factors that could cause actual events or
results to differ materially from those projected in the
forward-looking information. Risks that could change or prevent these
statements from coming to fruition including that government may fund
the development of alternative technologies instead of hydrogen based
technologies; that hydrogen technology may fail to gain commercial
acceptance due to safety, cost or other issues; that alternative
technologies are preferred in the future to hydrogen technologies as
the main replacement of fossil fuels and other energy sources; that GH
Power Inc.’s technology may fail to be completely or successfully
developed and commercially implemented; that alternative technologies
may gain wider acceptance than those of GH Power for various reasons;
that alternative technologies may result in greater energy savings and
necessary bi-products; that GH Power’s technology may fail to deliver
the results anticipated in a commercial setting; that GH Power’s
reactor may not be developed as anticipated or at all; that GH Power
may be unable to finance its ongoing operations and development; that
the business of GH Power may be unsuccessful for various reasons. The
forward-looking information contained herein is given as of the date
hereof and we assume no responsibility to update or revise such
information to reflect new events or circumstances, except as required
by law.
DISCLAIMERS
This communication is for entertainment purposes only. Never invest
purely based on our communication. We have not been compensated by GH
Power Inc. for this article but may in the future be compensated to
conduct investor awareness advertising and marketing for GH Power Inc.
The information in our communications and on our website has not been
independently verified and is not guaranteed to be correct. The
content of this article is based solely on our opinions which are
based on very limited analysis and we are not professional analysts or
advisors.
SHARE OWNERSHIP. The owner of Oilprice.com owns shares of GH Power
Inc. and therefore has an incentive to see the featured company
perform well if its securities becomes listed on a stock exchange. If
the securities of GH Power become listed on a stock exchange, the
owner of Oilprice.com will not notify the market when it decides to
buy more or sell shares of GH Power Inc. in the market. The owner of
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own profit. This is why we are biased in our views and opinions in
this article and why we stress that you should conduct your own
extensive due diligence regarding the Company as well as seek the
advice of your professional financial advisor or a registered
broker-dealer before you consider investing in any securities of the
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provide investment recommendation.
ALWAYS DO YOUR OWN RESEARCH and consult with a licensed investment
professional before making any investment. This communication should
not be used as a basis for making any investment in any securities.
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solicitation nor an offer to invest or buy/sell securities. No
representation is being made that any stock investment, acquisition or
disposition will or is likely to achieve profits.
Green Play Ammonia™, Yielder® NFuel Energy.
Spokane, Washington. 99212
509 995 1879
Cell, Pacific Time Zone.
General office:
509-254
6854
4501 East Trent
Ave.
Spokane, WA 99212
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