Singaporean green energy project developer Carbon Governance Pte Ltd has sealed a land lease deal for a site in Indonesia that will become home to a green hydrogen production facility with a daily output of 30,000 kg.
The proposed plant will be installed on the island of Bintan and will produce green hydrogen for export to neighboring countries. Carbon Governance said on Tuesday it has sealed a Memorandum of Understanding (MoU) for a long-term land lease deal with an unnamed company in Indonesia.
The facility will use electrolysis with electricity from a solar park and will be serving the nearby markets, where demand is seen to experience exponential growth in the next few decades. First exports to Southeast Asia are targeted in the first quarter of 2027.
Feasibility studies on the project have been completed and the preliminary engineering design process is ongoing. A selection for the electrolyser technology will be made in January 2023, with a final investment decision expected to be taken in the closing quarter of 2023.
“Carbon Governance believes that hydrogen will soon become the next primary energy source for countries, and this project is the first pragmatic step towards making green hydrogen commercially attractive," said Cheryl Goh, executive director of Carbon Governance.
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