EverWind Fuels Receives $125 Million Loan for Green Hydrogen Facility in Nova Scotia
The federal Liberal government has provided EverWind Fuels with a $125 million loan for the development of a green hydrogen facility in the Strait of Canso region of Nova Scotia. The funding marks a significant step forward for the project, making it a leader of its kind in the Western Hemisphere.
More than 50 municipal and business leaders from Cape Breton and the mainland gathered at the Port Hawkesbury Civic Centre to witness the announcement by Nova Scotia Central Liberal MP Sean Fraser. The announcement drew loud applause, reflecting the anticipated economic benefits the project will bring to Cape Breton and Nova Scotia.
EverWind CEO Trent Vichie emphasized the project’s potential to create thousands of jobs in the region. He also revealed that the company has invested $200 million in the project and that the federal loan will help advance the design of the hydrogen production facility at the Point Tupper Industrial Park in Richmond County.
The project is located in the Point Tupper Industrial Park and is strategically located with access to railroads, pipelines, and ship loading facilities in the Straits. Site preparation for the facility has begun.
The proposed green hydrogen production process will utilize wind and solar energy to extract hydrogen from nearby Lake Landry. The hydrogen will then be converted into energy for export to meet the growing global demand for clean energy solutions.
EverWind’s large-scale wind turbine project in Colchester County is currently undergoing regulatory review. The $3 billion project is expected to produce affordable, green hydrogen fuel in conjunction with solar panels installed at the planned manufacturing facility.
Rep. Fraser emphasized the export potential of the project, particularly to countries such as Germany, which already has a clean energy supply agreement with Canada. Discussions are also underway to develop a storage and distribution system for green energy utilization in Nova Scotia.
Another green hydrogen project is being proposed near Bear Head in Tupper’s Point. While the federal government is also willing to invest in the project, EverWind is leading the way in terms of preparation.
“This is actually the most advanced green hydrogen project in the Western Hemisphere,” Frazier said.” There is no second project that compares to it on this side of the globe, let alone this side of the Strait of Canso.”
Grid investment
EverWind intends to use solar panels at its manufacturing facility and work with the government and Nova Scotia Power to transmit power from its proposed wind farm in Colchester County (about 200 kilometers) to Tupper’s Point.
Veitch acknowledged that the work would require an investment in the province’s power grid. However, he emphasized that the investment will simultaneously bring more renewable energy into the grid system and help move away from fossil fuels.
“It’s part of the cost of doing business, but I think it’s a win-win for both sides,” said Veitch.
Fraser agrees that the investment will increase the cost of green energy, but he insists that it is still economically viable.
“When you’re dealing with billions of dollars of private sector investment, the cost of transmission is a fraction of that compared to a huge investment of this nature,” he explains.
“In Nova Scotia, this will put thousands of people to work.
Veitch acknowledged that there is plenty of investment capital for green energy production, but he also emphasized the shortage of operating plants. He attributes the main challenges to the emerging nature of green hydrogen energy technology and the lag in government regulations to keep up with demand.
“We have three investment banks working with us,” Veitch said.” That’s the least of my worries. What’s more important is getting development permits and being ready to build.
EverWind expects to make a final investment decision early in the new year, but has already approved capital expenditures based on project expectations.
