Charbone Hydrogen partnered with the City of Selkirk for one of the First Western Canadian Production Facilities of Green Hydrogen.
Charbone Manitoba intends to use the Premises to establish the first green hydrogen regional hub in Manitoba for the production and distribution facility for the supply of green hydrogen. Accordingly, Charbone will leverage its expertise in developing, engineering, and constructing green hydrogen production facilities powered by renewable energies and selling and distributing its green dihydrogen into the prairies region.
The dimensions and exact location of the Premises shall be delineated and is subject to the terms of a formal lease agreement. The term of the Lease will be no less than three years commencing on or about June 14, 2022, subject to the terms and conditions set forth in the Lease. Charbone Manitoba shall have the option to renew the term for a renewal term of up to two years on the same terms and conditions that are to be set out in the Lease.
The Offer, and the obligations of Charbone and the City of Selkirk to enter into the Lease, is conditional on the execution of an operating agreement and a royalty payment agreement in connection with the proposed initial phase of up to 0.5 MW green hydrogen facility.
Charbone will prepare the financing, development and permitting work for such facility, targeting commercial operations and initial deliveries as early as the second quarter of 2023. Charbone intends to use the “re-water” from the actual wastewater treatment plant and to provide residual oxygen to the City of Selkirk wastewater pound, creating a circular water economy.
Dave B. Gagnon, Chairman and CEO of Charbone, said, “Charbone’s model of small-scale, modular, and scalable regional hubs is receiving a lot of attention from the markets where we want to operate, as it is socially acceptable by the local communities, which sees themselves in our project, and it provides a solution to the transport and delivery limitations of hydrogen.”
Cliff Cullen, Manitoba Minister of Economic Development, Investment and Trade, said, “As this project moves ahead, we look forward to the development of new jobs and new opportunities to further expand reliable and sustainable energy projects across the province.”
Tim Feduniw, Director of Sustainable Economic Development for the City of Selkirk, said, “Charbone’s Selkirk facility has the potential to support existing companies and attract new investment and employment opportunities as market demand for carbon-free energy alternatives continue to increase.”