HomeNewsBear Head Energy receives environmental approval for large-scale green hydrogen and ammonia project in Nova Scotia

Bear Head Energy receives environmental approval for large-scale green hydrogen and ammonia project in Nova Scotia

4/12/2023

Bear Head Energy, Inc. announced today it has received Environmental Assessment approval from the Honourable Timothy Halman, Minister of Nova Scotia Environment and Climate Change, for the Company’s green hydrogen and ammonia production, storage, and loading facility in Point Tupper, Nova Scotia.

Bear Head is permitted for up to two gigawatts of hydrogen electrolyzers. At full build-out and peak power inflow, Bear Head could produce up to 350,000 tons of hydrogen and two million tons of ammonia per year, positioning Nova Scotia to be a leader in the production of green hydrogen 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 hydrogen 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 hydrogen 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 hydrogen-focused platforms such as Bear Head, OneH2, and a low-carbon hydrogen 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 Hydrogen Investment Tax Credit (“ITC”) in Budget 2023, including a 40% ITC for clean hydrogen 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 Hydrogen 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.”

“Hydrogen 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 Hydrogen 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 hydrogen and ammonia production.”

The Company is taking a safety-first approach to all aspects of the facility design, construction, and operations, and has partnered with world-class engineering, development, and design firms Kiewit and io Consulting to develop a safe and efficient design for the green hydrogen and ammonia facility.

In addition to the Environmental Assessment approval, the Company has several other permits and approvals in place, including approval to construct its marine terminal and offloading facility.

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