Unlocking Newfoundland and
Labrador's economic potential

EVREC is a green energy project development company with goals aligned to those of the Canadian Government to set the country on a path to meet climate change goals of net-zero greenhouse gas emissions by 2050 (Government of Canada 2023). The management and shareholders of EVREC have both a long track record of investing in Canadian companies that support the energy transition, and the proven capability of executing and delivering large industrial infrastructure and energy projects. We are proud Canadians and excited to have the opportunity to realize such an important project for our future generations.

The EVREC Project is a large-scale power to X (P2X) project in the Central Newfoundland region that will generate clean electricity for its own use from an onshore wind farm to produce zero-carbon hydrogen and ammonia at scale. The Project will contribute to positioning Canada as a global leader in clean hydrogen production, use, and export.

As renewable hydrogen and ammonia are critical solutions for hard to abate industries (difficult-to-decarbonize), the Project has the potential to transform the path to global net-zero across a number of key emitting sectors and industries in Canada and beyond.

The project components include: an onshore wind farm with a targeted capacity of +3GW and associated infrastructure; molecular and energy storage; a hydrogen and ammonia production facility and an integrated port infrastructure. The EVREC project will produce ammonia by utilizing green hydrogen as feedstock for an electrified Haber-Bosch process, powered by renewable electricity, instead of natural gas, resulting in no CO₂ emissions.

In the development of the Project and the associated model, the proponents have taken a realistic view in all assumptions and have attempted to mitigate any risks by implementing proven technology and conservative approaches in assumptions and risk mitigation practices.

P2X or "Power to X" refers to processes that involve the conversion of power (P) into another form, typically a fuel or gas (X). The production of hydrogen (H2) through electrolysis or the synthesis of synthetic fuels such as ammonia are Power to X processes. The concept is part of the broader transition towards more sustainable and flexible energy systems as it can lessen CO₂ in hard to abate industrial sectors. EVREC is taking the historically intense CO₂ production of both hydrogen and ammonia and turning those processes 100% green.

The Department of Industry, Energy and Technology (IET) is the ministry in Newfoundland and Labrador that oversees the development of new industries and projects such as EVREC. As part of the process, there was a call for crown lands and 3.8 million hectares of land were nominated. These lands went through an interdepartmental review and land constraint analysis, and IET presented for a bid of 1.66 million hectares. For more information, please visit the link Virtual Engagement Sessions on Land Areas of Interest for Wind Energy Projects Launching Next Week - News Releases (gov.nl.ca).

IET then launched a Crown Land Call for Bids for Wind Energy Projects (Call for Bids) for specific crown lands on December 14, 2022, which closed on March 23, 2023. IET received 24 bids from 19 companies (including EVREC), which underwent a stage one review, including criteria such as the bidder’s experience and financial capacity to plan, construct, and operate the proposed project. Nine bids from nine companies were approved to proceed to stage two.

The stage two review included a deeper examination of the bidder’s experience, the proposed projects, and the project financing plan, as well as an examination of additional information on the electricity grid connection requirements, community and Indigenous engagement, and benefits to the province.

IET announced that four bids from four companies (including EVREC) received wind application recommendation letters and have been granted the exclusive right to pursue the development of their projects through the Government of Newfoundland and Labrador crown land application and approval process, which includes a referral to Environmental Assessment (EA).

The crown lands and EA processes will provide final project details, such as wind turbine locations. For more information on the process, please visit the link Crown Land Call for Bids for Wind Energy Projects - Industry, Energy and Technology (gov.nl.ca).

These projects will produce green hydrogen and ammonia for use in Canada and for export globally. Estimates show project lifespans can be as long as 50 years from construction completion through decommissioning.  Monetarily, an estimate is that the EVREC project alone will increase the annual GDP of the province of Newfoundland and Labrador by over 5%¹, offset over 1.5 million tonnes of C02 every year², and contribute over CAD$5 billion³ to Newfoundlanders through remittances to the provincial budget as well as various stakeholder benefit agreements. All projects will also pay provincial corporate tax and water royalties to the province. Peak full-time employment in the area is expected to exceed 11,500 jobs. The projects aim to ensure the development and use of the province’s crown lands for wind energy projects is done in a manner that ensures the greatest long-term benefit for residents of the province. For more information on the process, visit the link Crown Land Call for Bids for Wind Energy Projects /Industry, Energy and Technology (gov.nl.ca).

¹ Assuming the estimated project revenue upon full project COD and the Provincial GDP of CAD$29 billion.
² Based on most up to date hydrogen production numbers and a 100% offset of hydrogen produced via steam methane reforming with a carbon coefficient of 10 kgCO₂/kgH2
³ Includes the estimated economic impacts associated with operations and the spending of provincial tax/royalty revenues on public services. Values shown in 2024 dollars

The Province of Newfoundland and Labrador is ideally positioned with qualities, which when combined, give it a unique competitive edge globally for hosting projects such as EVREC. It has one of the world's most accessible onshore wind resources and an abundance of fresh water - the main components for large scale P2X projects like EVREC. The province is strategically located on the main Atlantic shipping route, giving access to global markets for its product, with the primary market being western Europe and its gateway ports. Additionally, Canada's stable economy and transparent regulatory regime support the energy transition, instill long-term confidence for investors, and gives developers the ability to unlock the low-cost, long-term, large-scale capital required to support these types of projects.

EVREC will develop, construct, and operate a wind to green ammonia project on the brownfield site of the former Abitibi logging lands near Botwood, in Central Newfoundland. We are structuring its design to use 100% renewable wind energy. The Project is planning to utilize a grid connection to draw power (if available) for critical loads or to provide power to support the local and provincial grid in times of need.

Green ammonia is considered environmentally friendly but can still pose certain risks. Accidental release during production, transportation, or storage could pose risks. EVREC will be implementing the latest available technologically to ensure that proper safety measures and emergency response plans are always in place. 

This project requires water for electrolysis and cooling. It is currently believed that the project will require similar levels of water consumption to those used historically on the project site and will be drawn from Peters Pond.  Studies will remain ongoing through the development phase of the project and will be reported as part of the Environmental Impact Assessment.

The port will be restored to its historical working condition to allow for inbound and outbound shipments. During the construction phase, a section of the port previously used by Abitibi will be upgraded to receive wind turbines and other materials required for the initial build. Botwood will have a fully operating international deep-water port as a result of the Project.

While it is not possible at this early stage in project development to firm up the exact job opportunities, they will be developed throughout the different project stages and will result in opportunities for various levels and skill sets. At this time, we expect the project construction and operation will require:

• Project and construction managers
• Engineers (electrical, mechanical, civil, design, HVAC, chemical, process, laboratory)
• Control room operators
• Environmental specialists
• Crane and heavy machinery operators
• Wind techs (The College of the North Atlantic is offering this certification)
• Welders
• Electricians
• General Labour

If you are planning any type of training or future education, please consider these areas. Check on our website regularly as jobs will be posted as the project develops.

We also anticipate a growth in the local economy indirectly created by EVREC in the hospitality industry, housing construction, retail development and professional services to the area.

EVREC is required by the Newfoundland Government to gather data and monitor all environmental effects of the wind farm build and maintenance on local species and their ecosystems- (avifauna, terrestrial reptiles, mammals, and fish). All information is gathered from existing professional sources, government and academic studies, local knowledge, field surveys and our own environmental monitoring. The final design will be influenced by the data. We share with the community the concern for every piece of the ecological puzzle. 

The Exploits Valley area boasts a world class wind resource; proximity to an existing deep-water port; water availability; the topographical characteristics to enable a cost-effective build; a stable government; a favorable fiscal framework; a defined regulatory pathway and local support from community stakeholders who have known the area in more prosperous times. 

Community involvement in the development of any wind farm is crucial for addressing local concerns, promoting transparency, and building trust and support for renewable energy projects. This project is engaging the community through:

• Public consultations and meetings
• Stakeholder engagement
• Educational initiatives
• Land lease agreements
• A community benefit agreement
• Environmental impact assessments that will be openly shared
• Developing job creation and training programs.

Community involvement in this wind farm development will require ongoing engagement from project planning through construction, operation, and decommissioning. The project is committed to effective engagement that will foster collaboration, build trust, and ensure that the project aligns with the values and needs of the local community.

Green ammonia is produced using renewable energy sources- in EVREC’s case, wind turbines and solar will fuel the process.  This electricity powers an electrolyzer, which splits water (H₂O) into hydrogen (H₂) and oxygen (O₂). This process is known as electrolysis and results in the production of green hydrogen. This green hydrogen is then combined with nitrogen (extracted from the air) in a process known as air separation.  The hydrogen and nitrogen are then combined to create green ammonia by a process (Haber-Bosch) which has been used for over 100 years and now has been adapted to be powered by sustainable energy.

Green ammonia offers several environmental benefits compared to conventional ammonia production methods because it has reduced greenhouse gas emissions. The key environmental benefits of green ammonia are to reduce carbon emissions, mitigate the impact of climate change, provide Canada with energy independence, improve air and water quality, have non-polluting sustainable agriculture, conserve resources, and promote a circular economy with the adoption of innovative technology.

As turbines are dismantled, the components are repurposed, recycled, or disposed of in an environmentally responsible manner.

Ammonia is a key component in fertilizers and chemicals and can now be used as a clean energy carrier.  Ammonia production is highly energy intensive and has traditionally been produced using fossil fuels. In 2020, global ammonia production created approx. 450 million metric tons of carbon dioxide into the air- all of which can be eliminated by producing it using green renewable energy.

Wind turbines undergo regular routine maintenance (visual inspections, lubrication of moving parts, monitoring of key performance indicators). Routine maintenance is essential to identify and address minor issues before they escalate. Predicative monitoring systems are often installed in turbines to continuously assess the condition of critical components. This includes vibration monitoring, oil analysis, and other sensors that provide real-time data on the health of the turbine. During the life of the turbine, periodic inspections, both internal and external, are scheduled to assess the condition of components that may not be easily visible during routine maintenance. These inspections help identify wear and tear and potential issues that may require corrective action.

Green ammonia has diverse applications across various industries, leveraging its role as a clean and sustainable form of ammonia produced using renewable energy sources. The key applications of green ammonia are for fertilizer production, agriculture, chemical industry, a hydrogen carrier, fuel for power generation, fuel for the maritime and shipping industry, energy storage, hydrogen production, emission control and water treatment.

The economic considerations in the production of green ammonia are: initial capital costs, operating and maintenance costs, cost of renewable energy, hydrogen production costs, feedstock costs, market prices for ammonia, government incentives and policies, carbon pricing and emission costs, market acceptance, access to funding, and lifecycle analysis and environmental externalities.

In the event of an unexpected failure or emergency, wind farms have response plans in place to address and repair issues promptly. This can involve specialized teams trained for turbine rescues and repairs.

Green ammonia is ammonia produced using renewable and sustainable energy sources. The traditional process for producing ammonia involves the Haber-Bosch process, which uses natural gas (methane) as a feedstock and a source of hydrogen. EVREC will be powering this process using renewable wind energy.

The impact of wind farms on wildlife is a topic that has been studied extensively, and it is essential to consider both the positive and negative aspects. While wind energy is a clean and renewable source of power, the installation and operation of wind farms can have various effects on local ecosystems and wildlife. The positive impacts of wind farms are that they vary from habitat preservation, reduced greenhouse gas emissions, limited air and water pollution. It is also important to note that the impact of wind farms on wildlife can vary depending on factors such as the location of the wind turbines, the species present, and the specific design and operation of the turbines. Site mitigation, proper environmental impact assessments, and ongoing monitoring are essential in minimizing negative effects on wildlife and optimizing the coexistence of wind energy and biodiversity. The Project and environmental agencies are working together to implement mitigation measures, such as proper siting, avian monitoring, and adaptive management practices, to address and minimize any potentially negative impacts of wind farms on wildlife  

The lifespan of a turbine (anywhere from 20 to 30 years or more) is influenced by the quality of the equipment, its operating environment and advancements in technology. The major components of a wind turbine are a tower, nacelle, blades, hub, gearbox, generator, and control systems. Each of these components has a specific lifespan, with some components potentially requiring replacement or major overhaul during the turbine's operational life.

Renewable energy plays a central and critical role in green ammonia production as it is this use of renewable energy that distinguishes green ammonia from traditional ammonia production, made with fossil fuels. The use of renewable energy sources contributes to the environmental sustainability and lower carbon footprint of the entire ammonia production process.

Under the Crown Land Application, EVREC has the obligation of decommissioning all assets. The types of work activities typically include removing or dismantling the asset. For the EVREC Project, the various aspects of the implementation of the Asset Retirement Obligation standard have been reviewed, and in doing so the underlying requirements and issues that must be complied with have been fully addressed in the planning stage. The Project has taken a very realistic approach in developing the plan, which can be implemented to meet the future legislative requirements, and as such it will be reviewed by the regulators through the permitting and approval process.

EVREC has implemented a culture of risk management. The Executive Team is responsible for protocols to protect both the on-ground organization (community, employees, the environment and assets), its shareholders’ investment and the reputation of the EVREC project.
 

Risk is evaluated by the probability of an occurrence providing a risk level ranging from low to extreme. Mitigation strategies will then determine a residual risk rating.

Identified risks that are outside the organization’s risk appetite will require implementation of a risk transfer, reduction, elimination, or exploitation strategy to reduce the residual risk level to as low as reasonably practicable.

Risks identified as high with an impact above a specified threshold will be reported to Project Sponsors/Steering Committee. As the organization continues to grow, it is committed to building increased awareness and a shared responsibility for risk management at all levels of the organization. Creating a culture of careful monitoring and observation by everyone is crucial to working in a truly safe environment.
 

Green ammonia, that will be produced through our process is considered environmentally friendly, however it can still pose certain risks. Accidental releases during production, transportation, or storage could pose risks. The project will be implementing best available technologically to mitigate these releases and will ensure that proper safety measures and emergency response plans will be implemented to mitigate these risks. It should be noted that ammonia production units and the transportation of ammonia is very common, with accidental releases causing harm being very rare. Industry, regulators, and the Project will work collaboratively to ensure that robust safety measures, emergency response plans, and sustainable practices are implemented and maintained.

To date, the project has demonstrated strong CSR support throughout the initial development and continues to have an active CSR campaign and community outreach. Key highlights to date: 1. Signed exclusive agreements with the Town of Botwood and Exploits Valley Port Corporation, 2. Successfully engaged the community through several meetings before the submission, which have garnered a noteworthy attendance of over 500 individuals. Most of the feedback received from attendees has been positive, indicating that the Project has an impactful and effective CSR Plan. We have also attended several co-sponsored information sessions with the Town of Botwood and have done several info sessions and get-togethers with the regional mayors from Exploits Valley and the staff. The active participation of community members and stakeholders in these meetings is a testament to the collaborative efforts being made towards executing the Project with support of the community, 3. Executed a Social License/MOU with the Qalipu Nation, which was signed and submitted with the proposal, and participated in numerous EVREC events and joint press releases, 4. The Project received an open letter of support signed by eight Mayors of the surrounding communities (Exploits Valley Region), addressed to Andrew Fury and the Minister of IET (Industry Energy and Technology). This was submitted before the final decision was released on the bid, 5. A key differentiator that sets us apart from other awarded projects is that it is targeting an area in Central Newfoundland that has been the industrial heartland for many years. Over the past century, the region has seen several large industrial and employment bases shut down. Most of the land and infrastructure targeted by the Project are repurposed forestry sites that were once a significant driver of Newfoundland's economic engine, thanks to the Abitibi Consolidated Pulp and Paper Company. The communities in the region were historical "Company Towns", communities formed to support these industries, and they are excited to see a project that aims to revitalize such an important area and bring new opportunities back to the region. Many other projects are in small communities primarily based on fishing or other outdoor and touristic pursuits (not historically heavy industry) and have a different connotation to the lands being targeted for development. Central Newfoundland, through the Project's engagements, is focused on bringing back jobs to the region, and this is the main driver behind the local government and population support of the Project.

EVREC consulted with members and representatives of Qalipu First Nation and Qalipu Holdings, including the Ward Councilor and Exploits region Qalipu members. These discussions were expansive, leading to a Memorandum of Understanding which sets out how EVREC and Qalipu intend to work together to explore procurement, construction, employment, and economic opportunities. Furthermore, the discussions included planning for monitoring, mitigating, caring for, and avoiding areas of cultural spiritual significance, rare plants, waterways, wildlife habitat and other areas of interest. All concerns will be identified and addressed though a comprehensive environmental impact assessment, which includes environmental and socio-economic impacts. This process aligns with the Government of Newfoundland and Labrador consultation requirements with Qalipu First Nation, in which EVREC intends to comply with all guidelines and conditions for consultation and engagement, and any resulting development agreements. EVREC also recognizes there are people in the Exploits region who are not Qalipu members, but who have deep rooted, significant, and cultural, recreational, commercial, and natural connections with the land to be considered for the wind energy project.  EVREC’s ongoing consultation will continue to understand all interests, issues, concerns, and opportunities with all people in the Exploits area, and beyond. EVREC’s intentions are to create a development that provides economic and social opportunities to support communities and future generations, with minimal impact on the environment.

The company is funding the construction and operation using its own funds, as well as funds raised from investors and lenders. The product being produced is green ammonia which will be sold to an international customer, not the province of Newfoundland & Labrador.