The Green Hydrogen project is a green hydrogen production facility with a capacity of 120 megawatts (MW). Located strategically in Nederland, Texas. This is the largest green hydrogen plant in North America upon completion. The project duration is shorter than other projects, expected to operate in mid-2024.
Project information
- Installing 12 plants with 10 MW electrolysis capacity.
- 1 electrical transformer station.
- Pipelines and other related projects.
- The majority of the project capital is used for electrolyzer equipment, substations, plant scales and supporting infrastructure ($110 million).
- $40 million was spent on construction and installation.
- The remaining $10 million is operating and working capital.
Why should you invest in green hydrogen production?
In 2020, almost 40 megatons of hydrogen were used as the primary fuel source for the petrochemical industry.
Hydrogen is used in many industries, from oil refining to ammonia and methanol production to steel production, and demand for hydrogen is expected to increase from 90 million tons from 2020 to 530 million tons in 2050.
The global green hydrogen market is estimated to be worth $1 billion in 2021 and is expected to reach $72 billion by 2030, growing at a compound annual growth rate (CAGR) of 55% over the forecast period. newspaper (2022-2030).
There are six major refineries near the green hydrogen plant construction site. Based solely on local refinery capacity, these plants need to consume about 800 tons of hydrogen per day.
Based on these needs, local refineries could use the full daily production capacity of NFE’s new plant – about 51 tons of green hydrogen per day – to meet less than 10% of demand.
New green hydrogen plants and production targets are being deployed en masse by companies and governments around the world.
Equity: $80M
EB-5 Loan: $80M
Total Targeted Investor Slots: 100
Minimum Investment Amount: $800,000
Job creation: 15+ jobs per investor. (Data updated until September 2022)
Loan term: 5++ years
New Fortress Energy refund guarantees:
- Market capitalization: $10+ billion as of August 2022.
- Annual revenue from operations is now $1.3 billion in fiscal 2021, and more than $2 billion for the 12-month period ending June 30, 2022.
NFE’s green hydrogen plant is located within the Port Arthur Industrial Complex where the final target customers of green hydrogen are concentrated. Among them are the two largest oil refineries in the world.
- The area is suitable for building railways, docks, and roads to transport hydrogen gas.
- Ideal construction area.
- Cheap power source.
- Near pipes.
- Close to waterways and railways.
- Easy to scale.
- Near large industrial consumers.
- Many industrial customers have a need for clean hydrogen gas.
CANAM ENTERPRISE
CanAm Regional Center – 35 years of EB-5 investment experience
- Developed more than 60 projects for EB-5 settlement investment. This is the 64th project.
- Mobilizing capital up to 3 billion USD.
- Refund for more than 4,000 families with capital of up to 2.15 billion.
- Helped 15,000 investors receive conditional green cards.
- There are 7,800 investors with permanent green cards.
- CanAm exclusively operates seven USCIS-designated Regional Centers. RCs are concentrated in Philadelphia, Pennsylvania, New York, New Jersey, California, Hawaii, Florida and Texas.
NEW FORTRESS ENERGY DEVELOPER
Project developer New Fortress Energy (listed code: NFE) is a world leading company in providing clean energy at affordable prices. As of August 2022, NFE has a market capitalization of $10 billion.
The company’s customers include the governments of Mexico, Jamaica, Puerto Rico and Brazil. Large and small-scale customers range from utilities, universities, hotels, manufacturers, breweries, wineries, food and beverage companies.
NFE’s current assets include 11 storage logistics stations, 5 power plants, 20 vessels including 9 storage and regasification (FSRU) vessels.
NFE has locations in Europe, Latin America, the Caribbean, Asia and the US including storage logistics stations, power plants and ships as well as storage and regasification terminals.
1. Great demand from the market
Market demand for green hydrogen consumption is increasing and receiving many incentives from the Government.
The Hydrogen market is expected to grow from 90 million tons from 2020 to 530 million tons in 2050.
There is a large oil refinery behind the Green Hydrogen plant construction site.
Green hydrogen plants are being deployed by companies and governments around the world.
2. Financial guarantees for investors
Equity: 80 million USD (50%)
The investor has a first mortgage on equipment and other assets
New Fortress Energy (a company valued at $10 billion) will provide the guarantee.
3. Energy Tax Credits change the green hydrogen industry
In August 2022, President Joe Biden signed into law the Inflationary Reduction Act (IRA).
The ability to obtain a tax credit or direct payment of $3/kg of green hydrogen is seen as revolutionary for the green hydrogen industry.
Tax incentives could halve the cost of green hydrogen production in many places in the US.
4. Advantages for the EB5 program
The project meets the requirements of USCIS, eligible to participate in EB-5.
The project does not borrow bank capital, EB-5 investors are given first priority for repayment.
The project is located in the TEA job creation incentive zone.
Create 15 jobs per investor. Exceeds the requirements compared to 10 jobs from USCIS.
The regional center has more than 30 years of experience in the field of investment and immigration, especially in the US. CanAm has been a strategic partner of Interimm since its early days of establishment.
