McDermott to Build Canada’s First Commercial Green Hydrogen and Ammonia Production Facility Worth Over $ 8.5 Billion

McDermott, a leading US-based energy EPC (Engineering, Procurement, and Construction) company, has been awarded a contract by Abraxas Power Corporation to construct Canada's first commercial green hydrogen and ammonia production facility.

The USD 8.7 billion EVREC (Exploits Valley Renewable Energy Corporation) project in Central Newfoundland is a groundbreaking initiative. It will feature a 530-turbine wind farm, a first of its kind in Canada, capable of generating 3.5 GW of electricity. A 150 MW solar PV (photovoltaic) installation will also be developed as part of the project. The facility, once completed, will have the capacity to produce 165 KTA (kilotonnes per annum) of hydrogen and 5,000 metric tons per day of ammonia.

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Rob Shaul, Senior Vice President of McDermott's Low Carbon Solutions division, stated that this agreement "is a testament to McDermott's industry-leading delivery and installation expertise and the breadth of our capabilities across the energy transition." He added that McDermott's century of experience and integrated delivery model will offer Abraxas Power a "repeatable modular implementation solution that is expected to drive cost savings, reduce risk, and provide quality assurance."

Under the contract, McDermott will provide FEED (front-end engineering design), EPC execution planning services, as well as an open-book EPC cost estimate for the hydrogen production, ammonia processing, and product storage components of the project.

Abraxas Power, a key player in the energy transition, is focused on identifying opportunities across various technologies and regions to revolutionize the global energy industry. Their partnership with McDermott on this project is a significant step forward in Canada's efforts to develop its green hydrogen production capabilities, demonstrating their commitment to sustainable energy solutions.

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