A coal mining company from Pakistan, Oracle Power plc has joined hands with China's PowerChina International Group Ltd. to develop a 400 MW green hydrogen facility in Pakistan with an aim to generate close to 150,000 kg a day.
The proposed project is planned to use renewable energy to power electrolyzers to produce green hydrogen which will then be supplied to Pakistan's neighbors as China, and others in Southeast Asia, Middle East, North Africa and Europe.
Location of the project is currently proposed to be in renewable resources rich region of Jhimpir, Gharo or Keti Bandar, but the duo is open to exploring any such place elsewhere in Pakistan.
Oracle Power is a UK based coal power company, previously known as Oracle Coalfields plc. In Pakistan, among other projects, it is working on the Thar Coal Project in Sindh province with its partners China National Coal Development Company (CNCDC) and the private office of Sheikh Ahmed Bin Dalmook Juma Al Maktoum, a member of the ruling family of Dubai.
While the project is not yet confirmed since the Government of Pakistan is reviewing proposals from international investors and is reviewing options and strategies, the duo have struck a partnership, and seeking support from their respective governments for the same.
To the Chinese government, PowerChina has expressed its interest in the project and expects to receive bilateral support through the China-Pakistan Economic Corridor (CPEC) program. The Chinese government owned engineering company is currently conducting technical pre-feasibility study whose results are expected to be released in Q4/2021.
"I believe that green hydrogen would provide a highly valuable additional pillar to our portfolio of assets, which now includes our two highly prospective gold properties in Western Australia and our proposed combined mine, mine mouth power plant and proposed coal gasification to urea project in the Sindh Province of Pakistan," shared Oracle CEO Naheed Memon.
Oracle Power said it will seek to obtain required support for the proposed facility by cooperating with the State Government of Sindh, and the Federal Government of Pakistan. The partners see Pakistan as an ideal location for a large scale green hydrogen facility due to the availability of land, labor and abundant renewable resources, that can help it become one of the world's main green hydrogen suppliers.
Along with establishing technical and commercial viability of green hydrogen facilities at the identified location, their cooperation will also seek to develop a cost-effective system for shipment and transportation of green hydrogen.