European momentum boosts Provaris Energy

Provaris Energy has embarked on a bold journey to become a market-leading provider of regional marine compressed hydrogen transportation solutions for the emerging hydrogen markets in Europe and Asia Pacific. In September, the company took a major step forward when it signed a memorandum of understanding (MoU) with major French power supplier, Total Eren. 

The scope of the agreement includes identifying opportunities to collaborate on importing compressed green hydrogen into Europe and Asia using Provaris’s novel H2Neo carriers. The move bolsters the company’s plan to ship – at scale, using compression – green hydrogen to key European industrial hubs and help achieve European decarbonisation goals. 

Geopolitical instability and energy-security fears are accelerating hydrogen adoption, supported by an increase in policy support and incentives. This is expanding large-scale demand for low-carbon hydrogen and increasing the need for its efficient distribution and delivery to industrial users in a ready-to-use form.

The move into Europe comes as Provaris progresses environmental submissions for its green hydrogen project for operations in northern Australia, and advances its Tiwi H2 project from concept to detailed design, engineering and approval. 

Commenting on the Total Eren MoU, Edison analyst Andy Murphy said: 

‘The MoU gives real credibility to Provaris Energy’s compressed green hydrogen transportation solution and may also lead to funding options that make it a reality. 

The timing is perfect as the EU is introducing initiatives and investment to accelerate introducing green hydrogen into the energy mix, to improve energy reliability and push its zero-carbon agenda.

The increased credibility this MoU attaches to Provaris’s H2 transport solution is clearly very important. The next important step is likely to be a class approval from the American Bureau of Shipping, in the shape of an approval for construction for the H2Neo carrier. 

It is hoped that this approval will be forthcoming before the end of 2022, which would allow Provaris to engage in detailed discussions with shipyards that will initially focus on constructability and price, with a view to first voyages in 2026. These are likely to coincide with the first green hydrogen volumes from the numerous planned clean energy plants seeking a scalable hydrogen transport solution.’

Speaking to Edison, Provaris Energy CEO, Martin Carolan, said the MoU was a ‘vital step forward’, giving ‘external credibility and validation to Provaris’s plans’.

‘Our discussions with Total Eren have identified a strong alignment on the commercial and technical benefits of compression for the storage and transport of hydrogen’, said the CEO. ‘We look forward to a closer relationship to facilitate and accelerate the delivery of the first fleet of H2Neo carriers.’

In October, the company made an EPBC referral to the Australian government to show ‘the Tiwi H2 project will be developed in a safe, sustainable and efficient manner, pursuing a minimal environmental and social impact’. Provaris maintains its position as a potential early mover in the export of green hydrogen from Australia and the government’s decision is expected by late November 2022. The Tiwi H2 project is proposing the development of a 100,000 tonne per annum export green hydrogen project to South-East Asian markets, and a timeline for first exports in 2027.

Read Edison’s latest update on Provaris.

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