Green Markets - June 20, 2024
Green Markets - June 20, 2024
News in environmental markets.
Green Markets is a daily series dedicated to highlighting events of interest that could impact investments within environmental markets.
Government/Regulatory
The New South Wales Budget for 2024-2025 allocates significant funds towards climate change and energy initiatives, totaling $3.5B. The budget also commits $1.9B to transition the state's bus fleet to zero-emission vehicles by 2047, alongside various energy rebates and conservation initiatives.
African Export-Import Bank (Afreximbank) has unveiled a $300M concessional financing program designed to bolster climate-related initiatives across Africa. It’s confirmed that the governance framework for the program has been approved, with efforts currently focused on finalizing its operational structure.
The US Department of Energy has announced its intention to fund projects aimed at advancing research, development, and deployment in the clean transportation sector with a focus on achieving net-zero emissions. While specific funding amounts were not disclosed, the initiative targets innovation in low-cost electric vehicle (EV) battery manufacturing and aims to strengthen the domestic supply chain for EV components. Proposed funding initiatives, according to TheWell News:
Improving 12V lead-acid battery service life and performance requirements to meet critical safety features while reducing cost.
Developing cell, module, pack, vehicle or structural strategies that reduce cascading effects of EV fires.
Conducting research and development that would reduce the manufacturing cost at the electrode, cell and pack levels by at least 30% compared to the state of the art.
Researching, fabricating and testing silicon-based lithium battery cells that meet EV battery performance requirements.
Developing high energy density cathodes containing metal chalcogenide, oxide or halide materials that surpass the energy density of state-of-the art nickel cathodes.
Battery Metals
Hindalco Industries, part of the Aditya Birla Group, has contracted Metso to build a copper scrapping processing system near its existing copper production site in Gujarat, India. This greenfield facility, the first of its kind in India, aims to annually produce 50,000 metric tons of low-carbon copper. The order includes three Kaldo furnaces, an anode furnace, an anode casting shop, and related gas-cleaning equipment.
Energy Exploration Technologies has just announced an ambitious lithium project in the Ark-La-Tex region, which encompasses Arkansas, Louisiana, and Texas. Phase 1 aims for an annual lithium production of 5,000 tons, scaling up to 25,000 tons per year in Phase 2. The company is backed by Series B financing and partnerships with General Motors and POSCO.
South Star Battery Metals (STS) is nearing the start of production at its Santa Cruz graphite mine in Bahia, Brazil, with Phase 1 plant construction expected to finish by June 2024, followed by commissioning and production ramp-up. Once operational, the Phase 1 plant aims to produce approximately 1,000 tonnes of graphite monthly.
Nevada Copper, supported by Pala Investments and Mercuria Energy Group, has filed for bankruptcy protection amidst challenges in restarting its Pumpkin Hollow project. The company, once valued at over $500M, announced its Chapter 11 bankruptcy filing in Nevada after unsuccessful attempts to secure additional funds or find a buyer.
Biofuels/Chemicals
Biokraft, a Swedish biogas firm, has announced plans to construct a new biogas plant at Perstorp Industrial Park in Sweden, which is targeted for completion by 2027. The facility aims to produce 130 GWh of biomethane and 17,000 tonnes of liquid carbon dioxide annually.
Jakson Green has secured a contract to construct the world's first flue gas CO2-to-4G ethanol plant, in India. The plant aims to produce 25 tons per day of CO2 captured from flue gas using Veolia's Carbon Clean technology, alongside three tons per day of green hydrogen generated through a 7.5MW electrolyzer. LanzaTech's microbial fermentation process will subsequently convert the CO2 and hydrogen into 4G ethanol.
PT Tripatra is planning on building a POME new water-based biodiesel plant, set to be complete in 2027.
Carbon Capture
Enerflex and BASF have entered a memorandum of understanding (MoU) to advance carbon capture applications at a commercial scale. Enerflex will contribute its experience in engineering, manufacturing, and integrating gas processing and compression systems, while BASF will provide its carbon capture technology.
Data
GIST Impact, a leader in impact data and analytics, has received an investment from UBS Next, the venture and innovation arm of UBS.
Electric Vehicles
BMW has canceled a €2B order for EV battery cells from Northvolt, citing delays in delivery. Despite the cancellation, BMW will still collaborate with Northvolt on developing battery cells for its Vision Neue Klasse EVs. To fill the gap, South Korea's Samsung SDI will step in as a supplier for BMW.
Energy Efficiency
Amprius Technologies has initiated a strategic effort to expand production capacity for its SiCore™ battery cells by securing contracts with multiple manufacturing partners. These partnerships aim to provide over 500 MWh of production capacity globally.
Electric vehicle and energy storage company NHOA Energy signed an agreement with Norwegian power company Statkraft to supply a battery energy storage system (BESS) for a 113MWh project in Coylton, Scotland.
Hydrogen
VoltH2, an energy company specializing in large-scale green hydrogen production, has chosen Sweco as its partner for designing and developing a new hydrogen plant in Delfzijl, Netherlands. The facility, currently in the design phase after receiving necessary permits, aims to start producing around 5,000 tonnes of green hydrogen annually by the second half of 2027.
Nikkiso Clean Energy & Industrial Gases Group has secured contracts to build and maintain approximately 24 liquid hydrogen (LH2) fueling stations across South Korea.
Antin Infrastructure Partners, a gas transportation company, is acquiring a majority stake in GTL Leasing, a leading lessor of gaseous hydrogen transportation and storage equipment in North America.
Liquified Natural Gas (LNG)
The European Union has agreed on its first-ever sanctions targeting Russian LNG, which prohibit the re-export of Russian LNG from EU ports. The sanctions specifically target Novatek, a major Russian LNG producer that uses EU ports to re-export LNG from its Yamal project to destinations like China.
QatarEnergy and ExxonMobil have moved to terminate Zachry Industrial's $5.8B contract for the Golden Pass LNG project in Texas, following Zachry's bankruptcy and extensive delays. The project, aimed at boosting US LNG production, is 75% complete but faces infrastructure risks due to Zachry's halted operations.
TotalEnergies and NNPC have jointly approved the development of the Ubeta gas field within Nigeria's OML 58 license. Production, slated to begin in 2027, targets a plateau of 300M cubic feet per day and includes measures like a 5 MW solar plant and electrification to reduce carbon intensity.
Renewable Energy
Associated British Ports (ABP), the UK's largest ports operator, has entered into a collaboration with Marine Power Systems (MPS), a floating wind technology developer, to advance floating offshore wind technology in the Celtic Sea.