BPH Energy raises $1.2m to pursue PEP-11 and hydrogen strategies
With the ongoing east coast energy crisis, BPH has received “significant interest” in PEP-11.
BPH Energy (ASX: BPH) has completed a $1.2 million placement to pursue its hydrogen strategy along with its renowned PEP-11 gas carbon capture and storage project in offshore New South Wales.
Former Australian Prime Minister Scott Morrison allegedly abused his powers in relation to PEP-11 by secretly appointing himself to the resources portfolio to block the permit.
Morrison also secretly appointed himself to several other ministerial portfolios during his tenure as Prime Minister.
After Morrison’s actions were brought to light earlier this year, current Prime Minister Anthony Albanese sought legal advice from the solicitor general Dr Stephen Donaghue QC, which found Morrison’s actions were legal due to loopholes relating to disclosure in the constitution.
However, Dr Donaghue determined Mr Morrison’s actions (including that for PEP-11) “fundamentally undermined” responsible government.
‘National significance’
After receiving binding commitments for the $1.2 million placement at $0.018 per share, BPH says it is “well-funded” to pursue its PEP-11 project, which it describes as “potential national significance”.
BPH’s investee Advent Energy has launched legal proceedings in the Federal Court of Australia against the Commonwealth-New South Wales Offshore Petroleum Authority.
In its proceedings, Advent alleges the effective rejection of the permit was invalid on the basis of “apprehended bias on the part of the former Prime Minister”, and the “asset was denied procedural fairness”.
East coast gas demand
In this morning’s announcement, BPH said it had received “significant interest” in PEP-11, which is driven by forecast gas shortages across the east coast.
Subject to a successful resolution in the Federal Court, BPH’s investee plans to use PEP-11 to address any looming gas supply issues.
“Advent has received a copy of the draft environmental plan which is currently being reviewed prior to release to enable the environmental consultation process for PEP-11 and we are hopeful of conducting drilling, subject to resolution of the judicial review application in the Federal Court of Australia in relation to the extension of the PEP-11 permit,” BPH executive director David Breeze said.
New South Wales currently imports about 98% of its gas requirements from other states.
Hydrogen strategy
Funds from the capital raise have also been allocated to BPH’s hydrogen strategy through its 10% holding in Clean Hydrogen Technologies.
Clean Hydrogen is developing and testing a reactor that can produce up to 15kg of hydrogen an hour.
The International Energy Agency forecasts the global hydrogen market will grow from US$100 billion in 2021 to US$200 billion by 2030.