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Abraxas seeks EAR permission for USD-8.8bn green energy hub in Canada

Canadian energy transition developer Abraxas Power Corp has submitted the Environmental Assessment Registration (EAR) for its green energy hub project in Central Newfoundland. The project will involve the installation of 3.5 GW of onshore wind capacity to produce hydrogen and ammonia, reported Renewables Now.

The submission was made by Abraxas’ subsidiary, Exploits Valley Renewable Energy Corporation (EVREC), to the Department of Environment and Climate Change of the Government of Newfoundland and Labrador, as noted in a press release on Monday.

The EVREC project is a Power-to-X (P2X) initiative with an estimated total investment of CAD 12 billion (USD 8.83 billion / EUR 8.04 billion). In 2023, the provincial government granted the project access to over 300 square kilometres (115.8 square miles) of crown land. The project will generate wind power alongside energy and molecular storage systems, supporting behind-the-meter hydrogen and ammonia production.

The hub is expected to produce up to 200,000 tonnes of green hydrogen and 1 million tonnes of green ammonia annually, with plans to export the output to global markets.

Progress on the project is well underway, with several pre-construction activities already in motion, including environmental data collection, resource measurement, and public consultations. The final project design will be influenced by these ongoing assessments, according to the company’s statement.

Earlier this year, US engineering firm McDermott entered into an early contractor involvement (ECI) agreement with Abraxas to provide front-end engineering design (FEED), engineering, procurement, and construction (EPC) planning services, as well as an open-book EPC cost estimate for the hydrogen production, ammonia processing, and product storage components of the project.

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