Mineral technology company TNG Limited (ASX: TNG) has signed a project development agreement with Malaysia’s AGV Energy and Technology to “jointly and exclusively” develop green hydrogen projects in Australia.
This follows the preliminary agreement signed in June which laid the framework for the two companies to develop vanadium redox flow batteries (VRFB) and hydrogen technology.
The heads of agreement then stated that the pair would collaborate on the proposed integration of VRFB with AGV Energy’s green hydrogen production technology, which it has been developing with a pilot project planned in Malaysia.
This green hydrogen technology, known as ‘HySustain’, is designed to produce green hydrogen and oxygen using the electrolysis of demineralised water and renewable energy. AGV Energy plans to use VRFB as its preferred energy storage system for HySustain at its Malaysian project.
The partners intend to assess, initially, a hydrogen project opportunity in northern Australia and close to key Asian energy markets.
AGV is already in discussions with hydrogen offtake partners in Asia.
Green energy strategy
TNG managing director Paul Burton said the agreement “marks another key step” in the implementation of TNG’s green energy strategy.
“The technology is well advanced, based on the results from a test plant in Europe to validate its operational and commercial feasibility.”
Reducing carbon emissions
The green energy strategy includes mitigation of future emissions from TNG’s flagship Mount Peake vanadium-titanium-iron project.
“We are impressed with AGV’s sustainable solution for decarbonisation, which we believe can be a positive contributor to assist industries within Australia with the transition to carbon-efficient operations and mitigation of climate change risks,” Mr Burton said.
According to TNG, Australia is well positioned to become a leader in the emerging global shift to hydrogen, with “ample potential” for cost-competitive renewable energy, strong existing trade links to key Asian energy markets, and an impressive track record in large-scale development and industrialisation of major energy industries.
Mount Peake, 235km north of Alice Springs, is expected to be a long-life project leading to the supply of strategic products, including vanadium pentoxide, titanium dioxide pigment, and iron ore fines
The project has received major project status from both the federal and Northern Territory governments.