Australia’s Pure Hydrogen Corporation Limited has entered an arrangement with PepsiCo Australia to trial a hydrogen-fuelled prime mover at one of PepsiCo’s manufacturing sites in the City of Brisbane.
Pure Hydrogen will supply PepsiCo with a Hydrogen Fuel Cell 160kW 6 x 4 Prime Mover (HFCV Prime Mover). The company will also provide additional hydrogen fuel as required, including refuelling along with arranging repair & maintenance services.
The trial will commence in Q2:2023 and will run for approximately six months. Following the trial, PepsiCo will assess the commercial use case with the potential to order further hydrogen-powered vehicles over the period 2023-25.
The PepsiCo trial marks the latest in several trials that Pure Hydrogen is undertaking in the domestic marketplace. Its other partners include JJ Waste & Recycling, which is scheduled to trial Australia’s first Hydrogen Fuel Cell Refuse Collection Vehicle (HFCRCV). The trial also forms part of Pure Hydrogen’s broader market strategy to demonstrate the commercial use-case of affordable hydrogen and hydrogen fuel cell vehicles.
So far, no trials have yet been undertaken, but the trials will allow Pure Hydrogen to demonstrate the HFCV Prime Mover’s potential to a broader range of potential customers.
Under the Term Sheet framework, Pure is expected to receive $98,400 (excluding GST) over the trial term of six months (with a minimum amount of $17,400 excluding GST) for the supply of the single HFCV Prime Mover.
If the trial is successful, the Term Sheet gives PepsiCo an option to lease the Hydrogen Prime Mover from Pure Hydrogen at a monthly fee of $10,554.40 excluding GST over a potential 7-year term, thus presenting a further revenue opportunity to Pure Hydrogen from the supply of the first HFCV Prime Mover.
Pure Hydrogen expects its net cost of this initiative will be about $410,000 for the trial, which, if successful, will create a growing H2 clean energy market.
Scott Brown, MD of Pure Hydrogen, said, “This trial will further showcase the potential of Australia’s hydrogen energy markets – particularly for the commercial trucking industry, which currently relies heavily on the use of diesel fuel.”
Brent Gapes, Sustainability Manager at PepsiCo ANZ, commented, “This trial demonstrates our commitment to net zero emissions across our value chain by 2040 – a goal that forms an integral component of PepsiCo Positive.”