Patriot Hydrogen installing the first portable hydrogen production units for Kimberley Clean Energy.
[Stockhead] Investors have demonstrated their support for Patriot Hydrogen and its progress towards installing the first portable hydrogen production units for Kimberley Clean Energy.The modular hydrogen production unit will form part of Kimberley Clean Energy’s fossil fuel substitution strategy, with plans to add a hydrogen system in the next stage.
Besides funding the delivery of more Patriot units, the oversubscribed A$1m raising, which was driven by lead broker Baker Young, will also underpin the company’s planned initial public offering in the third quarter of 2022.
Managing director Mark Roberts is happy but unsurprised by the strong response from the raising, noting the company’s proven technology makes green hydrogen production possible in previously inaccessible locations.
“Revolutionise the market”
“This carbon-negative process for generating renewable energy and hydrogen through biomass will revolutionise the market and help companies transition to a green energy strategy while cutting costs along the way.”
Patriot is contracted to supply 75 Patriot modules to Kimberley Clean Energy with the first units to be used at the Kilto Station, where Kimberley Clean Energy co-founder Jack Burton recently started a small abattoir to service markets around the Kimberley and Pilbara.
These units will be used to operate the Kilto Station’s abattoir, irrigation and homestead complex and assist in diverting a waste stream into a fertiliser product for the irrigation and farming lands. Thanks for staying up to date with Hydrogen Central.
Kimberley Clean Energy will seek energy supply contracts across the Kimberley over the next five years for the remaining Patriot units.
Biomass to hydrogen
Patriot’s modular units work by slowly heating different types of biomass waste feedstock in an oxygen-starved chamber to create biochar and hydrogen which can power farms, construction sites, remote communities, military bases and more.
It is also capable of producing ammonia, replacing the need to import higher cost urea as a fertiliser.
Creating multiple revenue streams
Importantly, the modularity of the units means they can be used for small applications yet be easily scaled up for organisations trying to transition to a net zero model.
“Before the emergence of the Patriot units, companies had to invest in multi-billion dollar centralised facilities, which are highly expensive to run,” Roberts added. “In some cases, it can replace the use of fossil fuels completely offsetting thousands of tonnes of carbon being polluted into the atmosphere each year.”
The Patriot units can operate different feedstocks and allow users access to multiple markets that are seeing enormous growth:
- Biochar is highly valued in agriculture and construction. There is already a robust global market for this product valued at US$800/tonne and is forecasted to cross the valuation of US$6.3 billion by 2031.
- The syngas produced from the gasification is rich in hydrogen. The unit’s proprietary process allows for the recovery of hydrogen, which is sold both domestically and internationally in a market expected to be worth US$201 billion by 2025.
- The Patriot units are eligible for two types of carbon credits – carbon removal and carbon offset – which will play a crucial role in helping companies meet their climate neutrality goals.
Under a joint venture agreement, Singapore’s CAC-H2 will be the exclusive technical and mechanical advisor and supplier to ensure the capabilities of the Patriot units.
Roberts concluded that in the next 12 months, the company will look to sign supply deals and work with its partners to deliver more Patriot units that will help companies harness renewable energy to support decarboniszation of the economy.
READ the latest news shaping the hydrogen market at Hydrogen Central
Patriot’s clean, green hydrogen dream finds a lot of favour with investors, 01 Feb 2022