Gold Hydrogen and collaborators set to establish the first natural hydrogen pilot plant in Australia
MOU agreements signed this week mark a crucial step toward the fast-tracking of a proof-of-concept natural hydrogen pilot project on the Yorke Peninsula.
Gold Hydrogen, a key player in the exploration and development of natural hydrogen resources, recently made headlines with a groundbreaking discovery in South Australia. The company's announcement of an active natural hydrogen field in the Yorke Peninsula has not only garnered global media interest, but has also prompted a surge in its shares.
Gold Hydrogen's Ramsay Project, with primary objectives centered around progressing natural hydrogen resources and maturing license areas, has entered a crucial phase with the completion of the maiden drilling campaign at Ramsay 1. The campaign, which reached a depth of 1005 meters, replicated historical hydrogen measurements and confirmed the presence of a hydrogen play at the Ramsay Natural Hydrogen project location.
The find, disclosed on October 31, revealed a hydrogen purity of 73.3%. A noteworthy concentration of helium, at 3.6%, was also identified at a depth of 890 meters, adding substantial value to the project.
The Australian newspaper, in particular, emphasized the significance of the Ramsay 1 bore find, validating Gold Hydrogen's hypothesis that hydrogen naturally forms from water interacting with rock formations in its Yorke Peninsula tenement area.
Building on this momentum, Gold Hydrogen announced this week the signing of two non-binding Memorandums of Understanding (MOUs) with Wasco Energy and H2Site.
The MOUs outline collaborative efforts between Gold Hydrogen, Wasco Energy, and H2Site to design and develop a natural hydrogen pilot plant. The plant's installation is contingent on the results of Gold Hydrogen's ongoing maiden drilling campaign. The core concept revolves around the extraction of natural hydrogen from subsurface raw gas streams, which can then be processed to yield high-purity hydrogen gas.
The collaborative venture aims to assess the suitability of current hydrogen purification systems to produce a saleable hydrogen product. In a proof-of-concept scenario, the compressed hydrogen could be introduced into the local market or utilized for power generation through hydrogen fuel cells. This initiative not only marks a significant commercial evaluation of the Ramsay area but also holds the potential to establish the first natural hydrogen pilot plant in Australia.
Buoyed by the promising results so far, Gold Hydrogen is set to proceed with the drilling of Ramsay 2, located approximately 450 meters west of Ramsay 1. Scheduled for the November-December 2023 period, Ramsay 2 aims to achieve similar technical objectives regarding well depth and target formations.
It is important to note that the Ramsay Project is not without its challenges however. Geological uncertainties and potential development risks, coupled with the proximity to agricultural areas and National Parks on the Yorke Peninsula and Kangaroo Island, necessitate substantial landholder and community engagement.
