Global Energy Ventures Ltd (ASX:GEV) has been featured in Far East Capital’s weekly commentary on October 30, with analyst Warwick Grigor noting “Global Energy Ventures has dual legitimacy with a plan to make hydrogen and an elegant transport solution to access export markets, ie a hydrogen manufacturer and a transporter.”
The company is marching toward a fully integrated green hydrogen supply chain with the planned development of a production and export project on the Tiwi Islands in the Northern Territory, which was announced last week.
An energy transition company with a mission to deliver compressed shipping solutions for transportation to regional markets, GEV is expanding its operations beyond compression and shipping solutions to provide a first-to-last green hydrogen export chain.
This project has been planned with stepped construction, beginning with 0.5 gigawatts of solar-generated power, and eventually expanding to 2.8 gigawatts and 100,000 tonnes per annum of green hydrogen export as the project develops and the market expands.
The following is an extract from Far East Capital’s weekly commentary:
Global Energy Ventures getting serious
We previously covered Global Energy Ventures (GEV) in the context of its progress in designing shipping tankers for the transport of compressed hydrogen around the world. Last week GEV announced its involvement with a 2.8 GW green hydrogen export project based in the Tiwi Islands, off the coast of the Northern Territory.
A solar power facility will commence at a capacity of 0.5 GW in the first instance and build up to 2.8 GW as the regional market for hydrogen grows. The solar facility will cover a 1,800 ha site that is currently used for plantations. Export facilities will be constructed at Port Melville, 30 km distant.
It is an important step for GEV as it seeks to demonstrate the credibility of a pipe-to-pipe green hydrogen supply chain that will use its seaborne shipping solution to access south east Asian markets. Utilising compression as the method to load, store and transport hydrogen avoids the complex and capital intensive process to ‘pack and unpack’ pure hydrogen gas required by other carriers such as LH2, NH3 or LOHC. This is an important consideration for the customer end of the supply chain.
Like all hydrogen projects, this one is still in the planning stage. GEV will be working with the NT Government and the Tiwi Land Council to establish a solar power monitoring station to generate data for the project design, then a full feasibility study needs to be undertaken. Financial close is scheduled for 2023, which would enable the first hydrogen exports in 2026.
We can’t comment on the economics of the project at this point, but neither can anyone else for their projects in the hydrogen space. Nevertheless, the hydrogen sector continues to be a hot spot for industry given the political pronouncements and the zero net carbon push. Any company with a legitimate claim to a seat at the hydrogen table is going to be in the spotlight for the next few years. Global Ventures has dual legitimacy with a plan to make hydrogen and an elegant transport solution to access export markets, ie a hydrogen manufacturer and a transporter.