Total invests in Hyzon Motors
Total continues to nail its colours to the clean energy mast by making a "strategic investment" in Hyzon Motors through its venture capital arm, Total Carbon Neutrality Ventures.
Hyzon is a global supplier of hydrogen fuel cell-powered commercial vehicles, including heavy duty trucks, buses and coaches. Established as a spin-off from Singapore-headquartered Horizon Fuel Cell Technologies Pte Ltd, Hyzon commercialises Horizon's 17 years of hydrogen technology development for applications in the transportation sector. Details of the investment were not disclosed.
The deal dovetails with Total's ambition to reach net-zero emissions by 2050, funding technology and solutions that contribute to a low carbon future.
Earlier this year, Hyzon expanded existing operations by opening its new US headquarters and Engineering Center at the former General Motors fuel cell facility in Honeoye Falls, New York. Hyzon also launched its European operations in the Dutch city of Groningen with JV partner Holthausen Clean Technology.
With production facilities in North America, Europe and Asia, Hyzon expects to deliver around 5,000 fuel cell trucks and buses over the next three years. By 2025, Hyzon's expected turn-key capacity will be more than 40,000 fuel cell vehicles annually.
Craig Knight, CEO and Co-Founder of HYZON Motors, said developing hydrogen mobility technology and assets is a long game and requires significant partnerships. "This is why we are pleased to welcome today our new investors and their support for accelerating the energy transition in mobility. In particular, we are delighted to welcome global energy company Total, a leader in the energy transition. As an investor and strategic partner, their experience, technology and infrastructure to supply clean energy, including hydrogen, around the world will be important to the success of HYZON."
Girish Nadkarni, Chief Executive Officer at Total Carbon Neutrality Ventures, said: "Total Carbon Neutrality Ventures invests in early stage companies which support Total's ambition to get to net-zero emissions by 2050, together with society. Its investments allow us to expand the reach of our low carbon- businesses beyond our own borders.
"About a decade ago, Total has set up the H2 Mobility joint venture, alongside other industry partners, to develop the hydrogen mobility ecosystem. Since then, we have developed several H2-related mobility projects, mainly in Europe. Building on this experience, Total is now moving forward in decarbonizing not only mobility -and notably heavy-duty transport- but also industry and energy.
"We are pleased to partner with Hyzon, one of the leading suppliers of hydrogen fuel-cell powered commercial vehicles and look forward to working closely with them as they expand their operations around the world."
Other investors in this round include Ascent Hydrogen Fund, Hydrogen Capital Partners and Audacy Ventures Ltd.
Total recently bought Blue Point London from the Bolloré Group for an undisclosed sum, taking over the management and operation of Source London and its 1,600 on-street electric vehicle charge points.
Drax advances biomass strategy with Pinnacle acquisition
The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.
The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).
This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.
In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.
The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.