Abraxas, EDF Launch 3GW Green Hydrogen and Ammonia Plans in Newfoundland

Wedoany.com Report-Nov 19, Abraxas Power Corp. (Abraxas) and EDF Group have unveiled plans to develop a 3GW Power-to-X (P2X) project capable of producing 200,000 tonnes of green hydrogen annually in Newfoundland, Canada.

Revealed today (November 18), the Exploits Valley Renewable Energy Corporation (EVREC) project will include a 3.5GW onshore wind development to provide behind-the-metre hydrogen and ammonia production.

In addition to its hydrogen output, the project will also produce one million tonnes of green ammonia annually. Abraxas and EDF hope to export the produced hydrogen and ammonia to other global markets.

Having now submitted an environmental assessment registration to local authorities, the partners are eyeing a final investment decision (FID) in 2026, and hope to kick off construction in 2026 before starting up production in 2030.

Colter Eadie, CEO of Abraxas and EVREC, said the project represents a transformative step forward towards a sustainable energy economy. He added that the effort also supports Newfoundland and Labrador’s green future.

Once operational, it is thought that EVREC will contribute over CAD $5bn ($3.5bn) to Newfoundlanders through remittances to the provincial budget as well as various stakeholder benefit agreements.

Beatrice Buffon, Group Senior Executive Vice-President, EDF International Division, CEO of EDF Renewables, noted how the project supports the company’s Hydrogen Plan. Launched in April 2022, the Hydrogen Plan set out a goal to develop 3GW of electrolytic hydrogen production worldwide by 2030.

Buffon added, “We are proud to join our partner Abraxas within the EVREC Project, which demonstrates strong competitive advantages in the global green hydrogen and ammonia market. With its Hydrogen Plan, EDF is supporting the energy transition with decarbonisation solutions in the sectors that emit the most CO2.”

It is thought that the project will offset over 1.5 million tonnes of CO2 annually.

Newfoundland has become the focus of major large-scale green hydrogen and ammonia projects, looking to capitalise on European demand.

In August, the German and Canadian Governments committed a combined CAD $200m to establish clean hydrogen trade between the nations.

With plans of setting up a H2Global auction, where a German Government-backed intermediary would purchase Canadian hydrogen at market cost, before selling on to European offtakers, it comes off the back of the Canada-Germany Hydrogen Alliance which was launched in 2022.