Oracle Power Plc, a developer of coal and gold mining projects in the United Kingdom, provided additional details about its intention to establish a 400-MW hydrogen production facility in Pakistan, stating that it is confident in its ability to create affordable green hydrogen locally.
Oracle and PowerChina International Group Ltd inked a non-exclusive collaboration agreement in October to jointly construct Pakistan’s green hydrogen mega-project, but the Chinese state-owned corporation was required to first perform a technical pre-feasibility study.
Oracle announced on Tuesday that PowerChina has finished the study, with the reported findings indicating that falling wind and solar energy costs in Pakistan might enable the project to deliver green hydrogen for less than USD 2 (EUR 1.75 per kilogramme).
Additionally, the partners estimated the project’s total cost — approximately USD 2 billion (EUR 1.75bn). According to Oracle’s project presentation, this money would cover the cost of the 400-MW hydrogen production plant, 700 MW of solar, 500 MW of wind, and 450 MW of battery storage to power the electrolysis.
The plant is expected to produce approximately 150,000 kilograms of green hydrogen per day, with Pakistani industry and consumers in China, South East Asia, Central Asia, the Middle East, North Africa, and Europe as potential offtakers.
The projected plant’s location within Sindh province, as initially envisaged, has also been narrowed. Oracle intends to build the facilities in Thatta district on 7,000 acres (28.33 square kilometers) of property in the Gharo-Jhimpir wind corridor, which the company estimates has a gross annual wind energy capacity of 43,000 MW. Oracle said the targeted location is around 120 kilometers (74.6 miles) from the seaport and 130 kilometers from Karachi.
Oracle said it is “actively exploring technology vendors and reviewing costs across Europe, Japan, and South Korea to assist the project’s advancement.” The corporation is in “advanced discussions” with possible partners and solution providers about whether to store and transport hydrogen in liquid form, via a liquid organic hydrogen carrier, in ammonia, or in gaseous form via pipelines. According to the statement, the Sindh provincial government supports the proposal and infrastructure plans are currently being made.
