HTEC and West Fraser Mills will receive CAD 10m from the Canadian government through a program seeking to facilitate adoption of innovative technologies.
Located in Nanaimo, B.C., HTEC’s project will operate a renewable hydrogen production facility at the Harmac Pacific Pulp Mill, producing clean hydrogen by electrolysis, according to a news release.
HTEC last year secured a CAD 217m investment from Chart Industries and I Squared Capital.
With a CAD 10m contribution through the Investments in Forest Industry Transformation program, the hydrogen will be used as clean fuel for transportation and heating, and will help the mill decarbonize its operations. HTEC’s project with Harmac Pacific is an example of how surplus energy from mills can be utilized to lower emissions and advance federal and provincial clean hydrogen goals, according to the release.
“HTEC’s growing network of hydrogen fuelling stations due to the industry demand for low-carbon transportation fuel in Canada has necessitated the development of local hydrogen production,” HTEC CEO Colin Armstrong said in a statement. “We are building multiple clean-hydrogen production facilities across the country, and this Nanaimo-based facility is a critical piece of the clean hydrogen value chain. We are grateful to the Government of Canada for its ongoing support in decarbonizing Canada’s transportation sector, allowing us to expand our retail fuelling network and opening up new market opportunities for heavy-duty transportation applications.”
