A “major mining explosives manufacturer” in Québec could offtake green hydrogen-based ammonia from Hy2Gen’s Project Courant plant in Canada.
The CEO, Cyril Dufau-Sansot, confirmed to H2 View that the unnamed partner will locally transform green ammonia into ammonium nitrate, the main feedstock of mining explosives.
The initiative is set to begin in 2027 and green ammonia production to start in 2030, boasting 300MW of electrolyser capacity. Last year, Hy2Gen was awarded 307MW of electricity to produce 230,000 tonnes of green ammonia per year at the facility.
On Wednesday (March 19), the company officially submitted a project notice for the ammonia plant, meaning the project is now progressing towards approval from Québec’s Minister of the Environment, “marking the end of the planning stage.”
The CEO explained to the local press that the agreement with the local government mandates that most – and eventually all – ammonium nitrate be sold within the province.
While Dufau-Sansot did not confirm to H2 View whether an offtake agreement had definitely been signed, he said, “One of the major mining explosives manufacturers in Québec is our partner, thus securing offtake as our renewable ammonium nitrate will be competitive with the current imported fossil-based one.
“Using decarbonised explosives instead of fossil-based ones will help the mining sector in Quebec to lower its CO2 footprint and increase its competitiveness.”
In an online press statement, the CEO added that Project Courant serves as a proof of concept for Hy2Gen’s future ammonia projects in the Americas and Nordic regions, which will help supply European industries.
“The demand for renewable ammonia is growing,” Dufau-Sansot said. “With a working logistics network, it can be imported and used in the EU at lower costs than renewable ammonia produced in Europe.”
Hydrogen imports from the Americas, Australia, and the Middle East are expected to be key for Europe and East Asia, but the Hydrogen Council’s joint report with McKinsey warns that reconversion costs, such as ammonia cracking, could drive landed prices as high as $8/kg.
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