Raised by the way of an oversubscribed placing of 294,117,647 new ordinary shares of 0.1p each in the company, at a price of 0.17p per ordinary share, the net proceeds are expected to “primarily” be used to support Oracle’s green hydrogen plans in Pakistan.
Additionally, it revealed it had signed a Memorandum of Understanding (MoU) with Emirates Global Aluminium (EGA) with intentions of discussing and negotiating the potential supply and delivery of around 50,000 tonnes of green hydrogen from the Pakistani project.
H2 View understands EGA hopes to acquire green hydrogen and ammonia as part of its plans to decarbonise aluminium production, replacing natural gas with the clean energy carrier.
Commenting on the agreement, Naheed Memon, CEO of Oracle Power, said, “The signing of the MoU with EGA, a sovereign owned global stalwart in the aluminium sector, is a significant step towards mitigation of financing risk for the green hydrogen project, as well finding a secure place for our project in the global supply for green hydrogen, as heavy industry giants move to decarbonise.”
If built, Oracle Energy, a joint venture between Oracle Power and prominent member of Dubai’s royal family Sheikh Ahmed Dalmook Al Maktoum, says the project would be Pakistan’s ‘first’ commercial green hydrogen production facility, initially producing approximately 55,000 tonnes annually.
In November last year (2022), the company acquired land for the 400MW project in Sindh, southeast Pakistan, investing $1.8m for a 30-year lease.
Read more: Oracle Power invests $1.8m in Pakistan land lease deal
Located within the Gharo-Jhimpir wind corridor, where over 1GW of renewable power has either been constructed or commissioned, the site is within proximity to existing infrastructure, including water, and established road and rail infrastructure, connected to Karachi Port and Port Qasim.
Additionally, the project plans to develop solar and wind power facilities to a combined output of 1.2GW hybrid power, from proposed capacity of 700MW of solar, and 500MW of wind and battery storage.
“We continue to make great strides in advancing our Green Hydrogen strategy in Pakistan and this fundraise will enable us to continue on this upward trajectory,” said Memon. “The majority of the funds raised will be used to support the Green Hydrogen initiative through Oracle Energy, whilst also providing us with sufficient working capital to progress the strategies of the other projects in Oracle’s portfolio.”
In October (2022), Oracle appointed thyssenkrupp Uhde to lead the technical and commercial feasibility study for the project, which is expected to be released in the first half of this year (2023).
Read more: Oracle Power appoints thyssenkrupp Uhde for green hydrogen and ammonia plant study in Pakistan
Memon added, “We are now looking toward the next stage in the Project’s development as we move forward with detailed technical and financial feasibilities. With this financial support, combined with that from His Highness Shaikh Ahmed Dalmook Al Maktoum, I am confident we will be able to expedite the development of this ground-breaking and globally significant project.”
A Successful Ecosystem for Green Hydrogen – London
It is becoming ever clearer that the entire green hydrogen ecosystem requires alignment. Hydrogen’s potential, performance, and safety are proven. Green hydrogen is widely accepted as a core pathway to Net Zero, yet the key levers in the transition are not yet in-sync.
At H2 View we recognise the increasingly challenging economic climate that various countries/economies are currently facing. We want to help as many companies as possible in the hydrogen space to achieve their needs as competitively and logically as possible. As a result, we felt it was a compelling decision to relocate our previously planned event in Iceland, to a venue in London.
Join H2 View in London, one of the foremost investment capitals of the world, for a 1.5-day event devoted to thought leadership, insights, and actionable takeaways in the green hydrogen ecosystem, combined with the connections and networking to deliver against those objectives.
This H2 View hydrogen summit is dedicated to dissecting the ecosystem requirements to truly realise a green hydrogen-fuelled future across industries, transport, and society. This event will tackle all sides of the energy ecosystem, from wind and solar power requirements to additionality, water sustainability, electrolyser technologies, and investment and policy climate.
You can find more information at h2-viewevents.com.