Abraxas and EDF Group Announce Strategic Partnership for the Exploits Valley Renewable Energy Corporation Green Hydrogen and Ammonia Project

On November 18, 2024, Abraxas Power Corp., a leading energy transition developer, announced that it had entered into strategic development agreements with EDF Group, a key player in energy transition and a world leader in low-carbon energy, to jointly develop the Exploits Valley Renewable Energy Corporation (“EVREC”) green hydrogen and ammonia project in Central Newfoundland.

EVREC is a Power-to-X (P2X) project that is expected to include up to 3+ gigawatts (GW) of onshore wind capacity with associated energy and molecular storage to power behind-the-meter green hydrogen (H₂) and green ammonia (NH₃) production. The project anticipates generating ~200,000 tonnes of green H₂ and ~1,000,000 tonnes of green NH₃ annually. EVREC aims to have its own dedicated port infrastructure to export its products to global markets.

Through the strategic agreements, Abraxas and EDF, as equity partners, will develop the project with the objective to reach a final investment decision in 2026. Once operational, it is anticipated that the project will offset over 1.5 million tonnes of CO₂ every year, and contribute over $5 billion to Newfoundlanders through remittances to the provincial budget as well as various stakeholder benefit agreements over the life of the project. The project is expected to add hundreds of new, highly skilled and long-term jobs to Central Newfoundland.

Aird & Berlis represented Abraxas and EVREC with a team led by Richard Kimel and including Trevor deBoer, Sean Green, Jessie Lewis, Karlie Nordstrom and Francesco Gucciardo.