CNX Resources, a major proponent of the DOE funding-winning ARCH2 hydrogen hub, has backed out of the Adams Fork project, one of the hub’s anchor projects.
The Pittsburgh-based company cited delays and increasing uncertainty over 45V hydrogen production tax credit provisions along with an inability to reach final commercial terms with project developers.
The company said in a news release that it has “ended coordination with the Adams Fork project and is evaluating several viable alternative sites in southern West Virginia for clean hydrogen projects.”
It remains committed to ARCH2 via use of its local, low cost, low carbon intensity feedstock, the company said.
CNX’s final investment decision remains contingent upon tax credit guidance that unambiguously supports low carbon intensity feedstock projects that will facilitate development of the regional clean hydrogen hubs, including ARCH2, it said in the release.
The Adams Fork Energy clean ammonia project, jointly developed by Adams Fork Energy, LLC and the Flandreau Santee Sioux Tribe, was expected to have initial annual ammonia production capacity of 2,160,000 metric tons, with optional additional production capacity.
