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Bear Head Energy receives environmental approval for green H2, ammonia project

Bear Head Energy has received environmental assessment approval from the Minister of Nova Scotia Environment and Climate Change, for the company’s green H2 and ammonia production, storage and loading facility in Point Tupper, Nova Scotia.

Bear Head is permitted for up to two gigawatts of H2 electrolyzers. At full build-out and peak power inflow, Bear Head could produce up to 350,000 tpy of H2 and 2 MMtpy of ammonia, positioning Nova Scotia to be a leader in the production of green H2 and ammonia and a critical part of the global energy transition. Bear Head will be developed in phases and is expected to commence deliveries of green H2 and ammonia by 2028 at costs among the lowest in the world, driven by Nova Scotia’s world-class wind resource, support from the Canadian federal government, and proximity to key markets.

“We are grateful to have achieved this enormous milestone for Bear Head, which could not have gotten to this point without the support of the Governments of Nova Scotia and Canada, First Nations, and local stakeholders, including labor unions, local governments, and the local community,” said Paul MacLean, Managing Director of Bear Head Energy, Inc. “We believe green H2 and ammonia will play a fundamental role in facilitating the global energy transition, and this approval demonstrates that Canada and Nova Scotia are at the forefront of making this a reality.”

Bear Head is a wholly owned subsidiary of BAES Infrastructure, a diversified energy company focusing on the development, construction and operation of energy transition projects. BAES Infrastructure officially launched in March 2023, with its seed portfolio including H2-focused platforms such as Bear Head, OneH2, and a low-carbon H2 and ammonia production, distribution and export hub under development in South Texas, as well as solar and wind renewable energy platforms Swift Current Energy and BAES Renewables.

“I would like to thank the Bear Head management team and the Government of Nova Scotia for their efforts in getting Bear Head to this milestone,” said BAES Infrastructure CEO Jamie Cemm. “Today’s Environmental Assessment approval will support the creation of a hub in Canada that can supply key markets across the world, accelerate global energy transition efforts, and provides a sustainable long-term industry and employment opportunities for the Strait of Canso region.”

The Government of Canada recently revealed details of its Clean H2 Investment Tax Credit (ITC) in Budget 2023, including a 40% ITC for clean H2 and a 30% ITC for clean technology to help Canadian companies be competitive on a global scale and encouraging the use of clean energy.

“Through smart initiatives like the Clean H2 Investment Tax Credit, the Government of Canada is acting on climate change by supporting the development of a sustainable and prosperous low-carbon future,” said Mike Kelloway, Parliamentary Secretary to the Minister of Fisheries, Oceans and the Canadian Coast Guard and Member of Parliament for Cape Breton–Canso. “Budget 2023 aims to position Nova Scotia and indeed all of Canada as a global clean energy hub, establishing conditions to develop green projects like Bear Head Energy.”

“H2 is an important tool in decarbonizing our economy, and Canada has the natural resources and the technological know-how across the country to be a global leader,” said Laurel Broten, CEO of Invest in Canada. “The environmental approval for the Bear Head Energy Green H2 and Ammonia Production, Storage, and Loading facility in Nova Scotia is an exciting step in developing Atlantic Canada as a premier hub for low-carbon H2 and ammonia production.”