A U.S.-based wind energy leader pitched a green hydrogen project for the Port of Argentia at a long-running annual conference in St. John’s that generally focuses only on oil and gas.
“Today I suppose we’ve made the next step in Argentia’s transformation to a green economy,” said Wayne Power, chairman of the Port of Argentia’s board of directors and deputy mayor of the neighboring city of Placentia.
Pattern Energy, headquartered in San Francisco, is a global leader in renewable energy, producing over six gigawatts of electricity.
It is also well-established in Canada, having wind farms in five provinces.
Now, it intends to add a sixth province to its business portfolio, but it also wants to use wind power as an energy source to produce green hydrogen to service a fast expanding market in Europe and worldwide.
Frank Davis, who is in charge of Pattern Energy’s Canadian branch, is a Newfoundlander who wishes to exploit the province’s famed wind potential.
Davis told reporters after his presentation to delegates at the Energy N.L. conference, “We believe Newfoundland is a very logical and exciting location to develop these projects in order to meet the international demand for these fuels.”
Pattern is interested in Argentia due to the quantity of land, fresh water, and readily available wind off Placentia Bay. And with a well-developed port, it is strategically placed as a gateway to European markets.
Now, “everything is falling into place,” said Power.
Pattern has acquired an option to lease up to 4,000 acres of undeveloped property within the backlands of the former U.S. military installation.
The company intends to conduct a feasibility study to evaluate if it is possible to construct a wind farm, a hydrogen electrolysis plant and storage facility, and other green fuels infrastructure on port properties.
The company intends to export green fuels, including carbon-free green ammonia, to worldwide markets and seeks to create relationships with other firms in the industry.
Davis stated that the corporation is not seeking “subsidies or freebies” from the provincial government, but that “We require a transparent and simplified approval process, as well as the right to construct some projects on Crown land.”
Regarding federal incentives, Davis stated that “progressive policies” will be required to ensure that such projects are competitive with those pursued in other nations, particularly the United States.
“We expect the federal government to play a role,” he said.
“We will need a willing and cooperative host with whom we can collaborate constructively, and these negotiations have already begun.”
Davis noted that the business intends to engage in extensive consultation, especially with Indigenous organizations.
In the coming months, the size and scope of the planned project will be decided, and Pattern Energy aims to have sufficient information within a year to evaluate whether it would invest in a full-scale project.
“We expect that this will be a key employer for the region both during construction and for the duration of operations,” he said.
Davis asserts that Newfoundland and Labrador has the potential to become a global leader in renewable energy exports, including green hydrogen.
“The Europeans have informed us that this demand is real and imminent, and by 2030, they plan to utilize 20 million tonnes of hydrogen annually. This is a project that requires immediate action and a substantial amount of resources to be constructed as soon as possible “he remarked.
Emerging technologies for producing green hydrogen will require an abundance of fresh water, land, and, of course, a stiff breeze.
According to experts, Newfoundland has tremendous potential, and developers have taken note.
Nathan Ashcroft, who studies the potential of hydrogen for the worldwide engineering and consulting firm Stantec, asserts that Newfoundland and Labrador have all the necessary components to become a major producer of hydrogen in the future.
Approximately 75% of the world’s energy supply is derived from combustible fuels, and Ashcroft anticipates this will continue for decades. He stated, however, that there is only one combustible fuel that emits no greenhouse gases: hydrogen created from renewable energy sources such as wind or hydro power.
Ashcroft asserts that Newfoundland and Labrador has a competitive advantage over other nations as they compete to supply the anticipated high demand in the coming years.
To support this market, he stated, “the regulatory framework will need to move swiftly.”
Pattern Energy is the most recent corporation to express interest in this area, attracted by the government’s recent decision to break a prohibition on wind energy projects and the drive by European countries to lessen their reliance on Russian natural gas.
Davis asserts that the province has opportunity for multiple developments.
“We believe there will be multiple project sites in Newfoundland due to the magnitude of the potential. In this regard, we are eager to collaborate with other developers.”
