IEPS Canada Ltd. announced today the completion of initial planning for the company’s 50,000 ton per year hydrogen (H2) production facility as well as agreements for a life-of-project water supply. The Kitsim H2 Project (www.ieps.ca) converts water, using electricity, into green H2.
By producing a reliable source of green H2 the Kitsim Project will help Alberta industries that use H2 ensure that they can reduce their own greenhouse gas emissions while also meeting investor and customer demands for more sustainable operations and products.
Successfully contracting for a water source has also been a major step forward for the project. Access to a secure source of water is critical to the success of green H2 production facilities.
As the next step in advancing the project, IEPS is now actively seeking financing for Phase 1 of the $550 million southern Alberta project and has retained Pivotal Capital Advisory Group Ltd. to lead that effort.
In announcing the next project stage, Mr. Greg Baden, IEPS president, observed that “Low carbon H2 will be increasingly important to Alberta’s energy and economic future and IEPS hopes to be an important part of that future. At the same time the introduction of commercial scale electrolytic technology, which is relatively new in North America, also offers Alberta excellent opportunities for further economic diversification.”
Green H2 from electrolysis can be easily introduced, with minimal capital cost or operational risk, to any chemical production facility seeking to increase the sustainability of its own products and operations. In the case of fertilizer production, for example, the growing availability of green H2 will substantially improve the sustainability of Western Canadian food production along with reducing greenhouse gas emissions.
IEPS stated that in raising the required financing it intends to take full advantage of Pivotal’s strong reputation for supporting low-cost energy producers that offer investors solid returns.
Pivotal’s president, Ms. Terry Allen, remarked that “This project has significant benefits for both equity and debt investors including early entrant advantages, utility-like cash flows and strong market demand for its products.”