POINT TUPPER: The company planning an industrial scale green hydrogen and green ammonia facility got the greenlight for the first phase of the project.
EverWind Fuels announced on Feb. 7 that they received approval from the Environment and Climate Change Minister Tim Halman for Phase 1 of its $6 billion (US); 1 million tonnes per year project in Point Tupper.
“Following a review of the information provided by EverWind Fuels Company, and the information provided by the Mi’kmaq of Nova Scotia and the public during consultation on the environmental assessment, I am satisfied that any adverse effects or significant environmental effects of the undertaking can be adequately mitigated through compliance with the attached terms and conditions,” Halman wrote in his decision.
The federal Minister of Environment and Climate change, Jonathan Wilkinson, congratulated the company.
“Good news! This project will be North America’s first large-scale clean #hydrogen facility, creating good sustainable jobs, driving economic growth, and helping to lower emissions,” he posted on Twitter.
In a press release, CEO and Founder Trent Vichie welcomed the news, with the company calling it a significant milestone.
“The environmental approval is like of binary thing; you either have it, or you don’t. Without it, you can’t do anything,” he told The Reporter. “It’s really a meaningful event.”
The green ammonia produced is expected to be transported internationally, including the production of ammonia-based fertilizer, EverWind said, noting they are on track to deliver green ammonia to German off-takers, E.ON and Uniper, by 2025.
Calling EverWind a “first mover” in Atlantic Canada, Vichie said the company is establishing a globally competitive clean energy hub which takes advantage of the local, national, and international opportunities in green energy.
Vichie said the environmental approval will enhance the region’s ability to create supply chains necessary to scale quickly in new markets, and creates the foundation of a new industry in Canada and Nova Scotia.
“We will be looking to supply the region and Nova Scotia with green hydrogen and green energy. In terms of the off-takers we have, that will underwrite the scale of the plant,” he said. “The region and the area needs a growth industry and having a green growth industry in this area, matches the talents and the skills of the population, and provides a transition away from what has been traditional energy sources that have moved from the province.”
This is among the first independent green hydrogen and green ammonia projects in the world to receive an environmental approval, the company noted.
Vichie said the approval clears the way for them to finalize engineering and construction plans, then proceed with off-take contracts.
“It clears the way for those two things and for us to make an investment decision in the middle of this year,” he said. “It’s pretty important, in terms of the work we’re doing. All of that stuff is progressing well so we’re sort of on target for our construction in the middle of this year.”
Noting estimates of up to 900 jobs during construction and as many as 90 jobs during operation, EverWind said this paves the way for construction to commence in the first half of 2023.
“We have discussions going on with local contractors, and the Cape Breton unions around being prepared for the work to come, making sure we’re well positioned,” Vichie said. “There’s also all the indirect benefits you’ll have as well. Whatever direct jobs you’ll have, you’ll have indirect jobs off the back of that as well.”
Vichie said they will have a more precise timeline for construction in a month or more.
“We’ll give updates as we move along. We’ll do some pre-site work in pretty short order,” he stated.
According to the environmental assessment documents, site preparation will include geotechnical surveys (soil competency, acid rock exposure), clearing, grubbing, and grading.
After the surveys are conducted, the document said the industrial facility footprint will be cleared of vegetation (trees and shrubs), as well as stumps, roots, downed timber, humus, and top soil, then grading will take place. The document said some blasting might be required to clear the bedrock.
Calling themselves North America’s leading independent green hydrogen developer, EverWind added the first phase is set to produce and export 200,000 tonnes a year starting in 2025 then achieve the full 1 million tonnes volume by 2026.
“Phase 1 is for what we put in the EA which was the 350 megawatt, approximately $1 billion first phase where we produce approximately 200,000 tonnes of green ammonia,” Vichie noted.
EverWind acquired the Point Tupper terminal from NuStar Energy in early 2022. The company said the marine terminal is the deepest ice-free berth on the east coast of North America.
EverWind owns and operates the deepest ice-free berth on the East Coast of North America, with world class access to rail, roads and pipelines.
The site, which has approximately $1 billion worth of storage and logistics assets, is an ideal hydrogen hub and is connected to critical rail, road, and pipeline infrastructure, in addition to the port, the company noted.
In December 2022, EverWind said it was the successful proponent in a provincial request for applications for Crown land and is now exclusively applying for leases on 137,000 acres of land to develop a 2 gigawatt onshore wind farm. The onshore wind is expected to power the second phase of its green hydrogen production facility by 2026, they said.
EverWind said it registered the first phase of the project for an environmental assessment on Dec. 9, 2022.
According to the environmental assessment document, the project consists of a 200 megawatt hydrogen electrolysis plant, a 600 metric tonnes per day ammonia production plant, a 230 kilovolt substation and power distribution system, and a marine loading pipeline for liquid ammonia product distribution.
The project will be located within a 172 hectare heavy industrial zone, according to the assessment, with the industrial facility located adjacent to the existing Point Tupper terminal.
The document notes that the pipeline corridor will be incorporated into the existing terminal pipe infrastructure and provide a shorter people route to the Landrie Lake Water Utility pump station, which will supply the freshwater demands.
Water will be required for cooling, potable water, and fire suppression, the document stated, noting that the decision was made to use Landrie Lake since it already provides raw freshwater to the existing terminal. The document noted that the pump house has a maximum pumping capacity of 35.9 mega litres per day.
“The watershed that we’re in is substantial. There is a huge amount of fresh water that’s just spilling into the ocean on a regular basis,” noted Vichie. “Water in this part of the world, regardless of what people have raised as concerns, which are reasonable, there is a lot. It’s a big watershed. Compared to what we need, there is a lot.”
The transmission Interconnection Lane was developed to run parallel to the existing Nova Scotia Power transmission line in Point Tupper, according to the EA.
Laurel Broten, CEO of Invest in Canada, Canada’s global investment attraction and promotion agency called the announcement significant.
“Hydrogen is a critical tool in the energy transition and in how we meet our net-zero goals by 2050,” she said in a press release. “EverWind Fuels’ planned hydrogen and ammonia project in Point Tupper, Nova Scotia is an example of the transformative benefits foreign direct investment can bring to Canada and to Canadian communities.”
EverWind said this was also good news for its First Nations equity partners (Membertou, Paqtnkek, (Bayside Development Corporation), as well as Potlotek First Nation.
“They’ve just been wonderful partners. It’s actually been a lot of fun working together with them,” said Vichie. “It’s been a great learning experience.”
At the local level, the company said it works closely with municipalities and stakeholder organizations.
“Before we embarked upon the investment, we actually did meet with provincial and local organizations or local government to basically check whether this was something that would be welcome in the region,” said Vichie. “The support, or the communication, or the desire they expressed has not changed.”
The next phase of the Nova Scotia project includes a 2 gigawatt wind farm which is expected be the largest in North America, added the company.
“We’ll be working on the environmental work that’s necessary for Phase 2 while we’re preparing for the in final investment decision,” he added. “We’re making good progress on that front. We’ll be doing a lot of work on Phase 2, the wind farms.”