Montem Resources (ASX: MR1) has contracted multinational firm Hatch to complete detailed engineering and design work for class III cost estimates relating to the pump hydro energy storage (PHES) element of its Tent Mountain renewable energy complex (TM-REX) in Canada.
The work will contribute to planning for the transition of the former Tent Mountain coal mine following independent studies which demonstrated the project’s strong viability to host a renewable energy development including 320 megawatts of PHES, a 100MW green hydrogen electrolyser, and a 100MW offsite wind farm.
The class III cost estimate being completed by Hatch will be coupled with project economics analytics supplied by Boost Energy Ventures.
Both sets of data are expected by mid-year and will give Montem the information needed for accelerating development of the TM-REX.
Montem managing director and chief executive officer Peter Doyle welcomed Hatch to the project team.
“Hatch is a world leader in the planning and construction of pumped hydro storage projects and [our] initial engagements have been very positive,” he said.
“The TM-REX continues to build momentum and represents an extraordinary opportunity for [us] to be at the forefront of energy transition in Alberta.”
Tent Mountain is currently a mothballed coking coal mine and delayed approvals for a re-start led Montem to considering other options for the development.
The transition to a renewable energy complex was announced in October, targeting the production of approximately 300 gigawatt hours of on-peak power production per year from the PHES.
The production of hydrogen onsite will transform Montem into Canada’s first large-scale green hydrogen producer, with an output of up to 13,000 tonnes per year.
The Hatch contract is considered to be a key step in de-risking the project and moving towards commercialisation.
Mr Doyle said TM-REX progress is continuing to plan, with the company recently submitting an application for grid connection to the AESO (Alberta Electric System Operator).
The submission is a key project milestone, which triggers the AESO stage gate process for securing interconnection capacity to the Alberta transmission system.
Tent Mountain’s PHES is located a short distance from the high voltage electricity grid, providing logistics and economic advantages.
Montem continues to work closely with the Piikani Nation landowners on wind power generation strategies.
The Tent Mountain development is located in the traditional territory of the Piikani, and Piikani’s reserve lands lie in the heart of southern Alberta’s wind power generating region.
Green hydrogen electrolyser
Global mining consultant GHD is progressing a class IV cost estimate to provide project economics for the green hydrogen electrolyser element of the TM-REX.
GHD will complete preliminary engineering design and undertake an initial assessment of land, water and regulatory requirements for the project.
It will also prepare the technical requirements for production, storage and transportation of hydrogen, and establish an optimum project delivery schedule.
Mr Doyle said the work would help Montem explore the anticipated needs of a growing market as well as end-users for green hydrogen.