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VRX and Xodus in hydrogen supply deal for silica sand and glass-manufacturing

Anela DoksoBy Anela Dokso10/03/20222 Mins Read
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In order to produce net-zero glass, VRX Silica Limited has signed a non-binding memorandum of understanding (MOU) with Xodus to explore the supply of renewable hydrogen to the company’s silica sand projects as well as potential, nearby glass-manufacturing facilities in the future.

VRX is exploring the possibility of developing glass-manufacturing facilities at Arrowsmith and Muchea, both of which have silica sand of high quality and volume, as well as close proximity to energy infrastructure, in consultation with the Western Australian Government and significant international industry players.

The production of glass necessitates large amounts of energy. Net-zero glass production may be possible if renewable hydrogen is used to power these glass factories. Energy consultancy Xodus specializes in providing integrated support and services for energy transition through the integration of environmental science, engineering, and management. A consortium led by Xodus is developing Project MercurHy, which aims to produce hydrogen gas on an industrial scale using renewable energy in Western Australia’s Mid West region.

Strategic confidential communication and future cooperation will be made possible thanks to the MOU signed with Xodus. In order to supply a large glass-making plant, it contemplates sharing information that could lead to a future purchase of between 9,000 and 11,000 tonnes of hydrogen per year.

The MOU is set to expire on June 30, 2023, but can be extended by both parties for an additional year. VRX has the option of novating the MOU to a third party who plans to build a glass-making facility using silica sand supplied by VRX. For a non-binding agreement like this, the terms of the MOU are typical.

High-quality sand projects are owned by VRX at the Arrowsmith Silica Sand Project (270 kilometers north of Perth) and the Muchea Silica Sand Project (50 kilometers north of Perth). Both locations have silica sand that can be used to make glass, with Muchea’s being particularly good for solar panel glass manufacturing.

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