Canada’s Bear Head Energy has secured environmental approval from the provincial government of Nova Scotia for a 2GW green hydrogen and ammonia project at Point Tupper. Bear Head has also secured permits to construct the marine terminal and offloading facility.

The project is expected to be developed in phases, starting with 500MW of capacity capable of producing c.85,000t/yr of green hydrogen and 420,000t/yr of green ammonia. First deliveries of are scheduled for 2028. Bear Head estimates shipments from Nova Scotia to Europe will take only five days, half the expected shipping time from the US Gulf coast.

Bear Head is owned by BAES Infrastructure, launched by Houston-based Buckeye Partners in March to focus on energy transition assets.

“Today’s environmental assessment approval will support the creation of a hub in Canada that can supply key markets across the world” Cemm, BAES

“Today’s environmental assessment approval will support the creation of a hub in Canada that can supply key markets across the world, accelerates global energy transition efforts and provides a sustainable long-term industry and employment opportunities for the Strait of Canso region,” says BAES CEO Jamie Cemm.

The Bear Head project is the second large-scale green hydrogen and ammonia project at Point Tupper to receive environmental approval, with windfarm developer Everwind announcing its permit for a 1mn t/yr green ammonia project in February. The firm plans to deliver first ammonia to offtakers in Germany by 2025, having signed a memorandum of understanding with energy firms Uniper and Eon in August last year.

Canada recently unveiled a 40pc investment tax credit for low-carbon hydrogen production as part of its push to become a major production and export hub.

The country is also seeing progress on projects that will produce hydrogen for domestic offtake.

State-owned Canada Infrastructure Bank last month agreed a $277mn loan to a joint venture between Shell, Canadian oil sands firm Suncor, methanol producer Proman and the government of Quebec for construction of the country’s largest biorefinery. The Varennes Carbon Recycling project will include a 90MW electrolyser, supplied by Accelera, a subsidiary of electrolyser manufacturer Cummins, to produce hydrogen and oxygen for processing 200,000t/yr of non-recyclable waste and residual biomass into 130mn l/yr of biofuels.

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Author: Polly Martin