Equipment Sale to BOC Project in Australia
23 August 2019
ITM Power plc
("ITM Power" or the "Company")
ITM POWER SECURES EQUIPMENT SALE TO BOC PROJECT IN AUSTRALIA
ITM Power (AIM: ITM), the energy storage and clean fuel company, is pleased to note the announcements today by BOC and the Australian Government via the Australian Renewable Energy Agency ("ARENA") of its support for a project for BOC to produce hydrogen from renewable energy at its Bulwer Island gas facility in Brisbane. ITM Power is supplying the 220kW electrolyser. The full text of today's announcement by ARENA is set out below.
Support for renewable hydrogen production in Brisbane
The future of hydrogen as an alternate energy source continues to develop under the Liberal National Government.
The Liberal National Government, with the Australian Renewable Energy Agency (ARENA), is supporting gas company BOC to produce hydrogen from renewable energy at its Bulwer Island gas facility in Brisbane.
The pilot project will involve the installation of a 220 kW electrolyser and a 100 kW solar array to produce up to 2400 kilograms of renewable hydrogen via electrolysis per month. The project will utilise the existing industrial gas equipment and infrastructure onsite.
The project also includes a vehicle refuelling station in Brisbane. In addition to supplying BOC's existing industrial customers, 50kg per day of renewable hydrogen will be produced by BOC for the refuelling station.
The Government through ARENA has provided $950,000 in grant funding towards the $3.1 million project.
By some estimates, global annual demand for hydrogen as an energy source is expected to grow from around 1 million tonnes at the present day, to around 35 million tonnes by 2040.
The development of large-scale hydrogen production, storage and export facilities could deliver economic benefits to Australian businesses and communities and provide reliable, affordable and low emissions energy to overseas trading partners.
In December 2018, the COAG Energy Council, led by the Australian Government, commissioned officials and the Chief Scientist to develop a comprehensive and ambitious national strategy for the development of an Australian hydrogen industry, to be delivered by the end of 2019.
The National Hydrogen Strategy will examine the use of hydrogen in exports, transport, and the gas distribution network, for industrial users and to support electricity systems.
Hydrogen technology will help lower the cost of reducing emissions, so that we can meet Australia's global climate commitments without sending industries and jobs offshore.
Today's announcement builds on the more than $100 million the Government has already invested in hydrogen projects around Australia.
ITM Power Pty MD, Dr Neil Thompson, said: "This is a great project for us and a chance to work closely with BOC, a company we know well globally, in Australia. We are also pleased to note the significant support being provided by the Government in Australia for hydrogen projects."
John Evans, Managing Director BOC South Pacific said: "The renewable hydrogen we produce will provide added environmental value to our industrial customers and facilitate the introduction of HFCEVs in Queensland, while supporting our own production processes at Bulwer Island.
We look forward to working with ARENA and our other partners to create new learning opportunities and build skills for a future hydrogen industry - which are key priorities outlined in the Queensland Hydrogen Industry Strategy and the upcoming National Hydrogen Strategy."
ITM Power CEO, Dr Graham Cooley, said: "Australia really appreciates the benefits that hydrogen can bring to reducing carbon emissions. The country's National Hydrogen Strategy, due to be unveiled at the end of this year shows serious joined-up thinking about the role hydrogen can play in tackling climate change."
For further information please visit www.itm-power.com or contact:
ITM Power plc
Graham Cooley, CEO
Investec Bank plc (Nominated Adviser and Broker) Jeremy Ellis / Chris Sim
Tavistock (Financial PR and IR)
Simon Hudson / Nick Elwes / Barney Hayward
About ITM Power plc
ITM Power plc manufactures integrated hydrogen energy solutions for grid balancing, energy storage and the production of green hydrogen for transport, renewable heat and chemicals. ITM Power plc was admitted to the AIM market of the London Stock Exchange in 2004. In September 2017, the Company announced the completion of a £29.4m working capital fundraise. The Company signed a forecourt siting agreement with Shell for hydrogen refuelling stations in September 2015, which was extended in May 2019 to include buses, trucks, trains and ships, and subsequently a deal to deploy a 10MW electrolyser at Shell's Rhineland refinery. The Company entered into a Strategic Partnership Agreement with Sumitomo Corporation in July 2018 for the development of multi-megawatt projects in Japan. Additional customers and partners include Ørsted, National Grid, Cadent, Northern Gas Networks, Gasunie, RWE, Engie, BOC Linde, Toyota, Honda, Hyundai, Anglo American among others.
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