- Queensland Pacific Metals has extended its working relationship with Edify through a new MoU.
- QPM will purchase hydrogen from Edify’s large-scale, green hydrogen production facility at Lansdown.
- The hydrogen secured would supplement the Company’s gas supply.
- The Company believes that its TECH Project boasts unrivalled ESG credentials amongst developing nickel projects.
Australia-based metal exploration company Queensland Pacific Metals Ltd (ASX:QPM) has executed a non-binding MoU with Edify Energy, a leading, sustainable energy producer.
Under the memorandum of understanding, QPM will purchase hydrogen from Edify’s large-scale green hydrogen production facility planned to be located within the Lansdown Eco-Industrial Precinct in Australia. The hydrogen purchase is expected to supplement the Company’s gas supply.
Triggered by the update, QPM shares jumped approximately 5.1% to trade at AU$0.205 on 29 November 2021, recording the best trading day in the last one week.
Notably, Edify is an Australia-based renewable energy and storage company with a robust and diverse growing portfolio.
In December last year, the two companies entered a heads of agreement covering the supply of solar energy from Edify’s proposed Majors Creek Solar Power Station to the TECH Project.
The MoU terms
Source: © Audioundwerbung | Megapixl.com
Image Description-Hydrogen Plant
Under the terms of the agreement, Edify will supply 100,000 gigajoules equivalent per annum of pure hydrogen gas, up to ~4,000kL of wastewater, and 4.2 x 106 Nm3 of oxygen gas to QPM.
The significant deal demonstrates Queensland’s commitment to make the TECH Project a global leader in ESG (Environmental, Social, and Governance) credentials for the production of critical battery metals.
The hydrogen MoU delivers various advantages to Edify and QPM, such as:
- Edify gets access to a baseload customer, which is expected to support the development of its hydrogen plant. The baseload will allow Edify to run its hydrogen plant by providing it a permanent minimum load to feasibly run the plant.
- Oxygen produced by Edify as a by-product can be used by QPM in the acid regeneration part of its flowsheet instead of being unused.
- Wastewater generated by Edify is to be sold to QPM at competitive rates. The explorer can use wastewater in its processing plant.
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QPM and Edify have joined hands to build business relationships using sustainable practices. QPM is developing the TECH Project, which is focused at re-energising Australia with critical battery metals production .