Global Energy Ventures Ltd begins development of 430 ton compressed hydrogen pilot vessel
This matches the scale, timing and downstream market opportunities for the green hydrogen projects under consideration, both in Asia Pacific and in Europe.
Global Energy Ventures Ltd (ASX: GEV) (FRA: WS9) has started to develop a pilot-scale compressed hydrogen (C-H2) cargo ship to capitalize on green hydrogen opportunities in Europe and Asia-Pacific.
The new vessel, capable of carrying 430 tonnes of C-H2, will be a scale version of a planned 2,000-tonne freighter, the development of which was approved in March this year.
Ultimately, the 430-ton vessel will enable Global Energy to achieve a key objective: to welcome an operational fleet of CH-2 carriers by the mid-2020s.
More generally, a new transporter will position the ASX-lister to facilitate the supply of and demand for green hydrogen between 2025 and 2030, which will make it a world first for large-scale hydrogen transport by sea.
The new vessel is expected to begin construction in 2023 and first operate in the mid-2020s.
Opening the way
Global Energy Managing Director and CEO Martin Carolan said: “GEV’s design and development strategy for the 2,000 ton vessel has proven that large C-H2 commercial vessels are possible and paved the way for development of a pilot scale version.
“The 430 tonne vessel is the perfect size to meet the needs of the current emerging H2 shipping industry and will ensure that we are established in the shipping of green hydrogen.
“A pilot vessel will complement discussions with partners and GEV’s goal of developing a fully integrated green hydrogen supply chain from northern Australia.
A new case
Today’s announcement comes just a week after Global Energy signed a memorandum of understanding with German consulting engineers ILF.
Under the agreement, the two sides are committed to identifying and developing green hydrogen projects in Europe and Australia that involve a CH-2 shipping solution.
ILF will also design export and import infrastructure to assist with the loading and unloading of gas between destinations, while Global Energy will transport green hydrogen from port to port.
A conceptual illustration that indicates the scope of GEV’s C-H2 supply chain.
Carolan said: “GEV has identified Europe as a key market for the company’s C-H2 shipping and supply chain, with the renewable energy sector growing at a rapid pace over the past few years.
“The Memorandum of Understanding with ILF will establish the launch of GEV in Europe with one of the world’s leading engineering companies with expertise in the design and implementation of green hydrogen projects.
This memorandum of understanding is valid until the end of next year, although it can be extended with the consent of both parties.
Opportunity in the EU
According to Global Energy, up to 85% of the world’s proposed green hydrogen projects are in Europe, with a vast pipeline of gigawatt-scale assets that are all expected to be operational by 2030.
In order to meet the net zero emission targets by 2050, the European Union (EU) plans to establish 40 gigawatts of its own green hydrogen production capacity and ensure the possibility of importing 40 gigawatts additional from outside the EU.
ILF Business Development Director Jens Kottsieper said he sees Australia as a major supplier of green hydrogen and there is a need to bring the hydrogen to Europe on a large scale.
“The transport of large quantities of gas has been a subject that has occupied us for more than 50 years.
“We are pleased to be able to complement our pipeline and hydrogen expertise with GEV’s expertise in low-cost transport by boat.
“With our common support, the gas is really flowing.”
As development progresses and explores the opportunities for transporting green hydrogen across Europe and Australia, Global Energy management has promised to provide more details on key milestones in the coming quarters.