Oracle Power PLC Update on Green Hydrogen Project Development (9893A)

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RNS Number : 9893A

Oracle Power PLC

30 May 2023

30 May 2023

Oracle Power PLC

("Oracle", the "Company" or the "Group")

Update on Green Hydrogen Project Development

Oracle Power PLC (AIM: ORCP), is pleased to share updates post the signing of an MOU with China Electric Power and Technology Co., Ltd ("CET"), a subsidiary of State Grid Corporation of China ("State Grid"), for development of its 400 MW Green Hydrogen Project ("the Project") in Pakistan via its subsidiary Oracle Energy, a joint venture with HH Sheikh Ahmed Dalmook Al Maktoum (see RNS March 07) .

A joint Steering Committee for the development of the Project has been nominated in accordance with the MOU, and meetings have already commenced.

The Project Steering Committee comprises of the following four members:

   --   Naheed Memon, Chief Executive Officer, Oracle Energy 
   --   Naved Akhtar, Chief Technical Officer, Oracle Energy 
   --   Wang Bo, Vice General Manager CET 
   --   Li Hui, Chief Representative of Pakistan, CET 

The inaugural meeting of the newly formed Steering Committee was held on Friday, May 12. The Company has also taken another major step forward in relation to the completion of the bankable feasibility studies for the 1.2 GW hybrid power, grid interconnection and storage architecture for the Project. With regards to these studies, which will feed into the ongoing Thyssenkrupp's Green Hydrogen and green ammonia studies, State Grid has commissioned and funded consultants Shanghai Investigation Design & Research Institute ("SIDRI"), to conduct power studies, and establish the feasibility of integrating solar and wind energy technologies into the Green Hydrogen Project. The study will analyse the Project resources, design the hybrid system, evaluate grid integration, conduct economic analysis, assess environmental impacts, manage risks, and engage stakeholders.

The hybrid power study encompassing 700 MW solar and 500 MW wind power, is expected to be completed by Q3 2023 and will produce the electrical design and civil works layout for the hybrid power facilities and integration with grid and chemical plants. These developments mark the commencement of State Grid's invaluable expertise and contribution to the Project development; with the signing of a Joint Development Agreement (JDA) with Oracle and a shareholder agreement envisaged as the next potential steps.

Oracle will share further details of the scope of further work on the Green Hydrogen Project, which State Grid will undertake once finalised.

The planned Green Hydrogen Production facility, if fully commissioned, would produce an estimated 150,000kg of hydrogen per day (55,000 tons per annum), and would be one of the largest such projects in Asia. Feasibility work for green hydrogen and green ammonia production commenced in Q4 2022 with Thyssenkrupp, the German multinational engineering company, with initial results due in Q2 2023. By way of further update, the mid study review meeting was held on 31 March 2023, followed by another meeting on 09 May.

The next meeting with Thyssenkrupp VP & Head of Chemical Process Technologies and the Oracle team, is scheduled for 02 June in Dubai in Thyssenkrupp's office.

Naheed Memon will present provide a live update via Investor Meets Company platform on Wednesday, 31 May 2023 at 11.00 a.m. BST. The presentation is open to all existing and potential shareholders. Questions can be submitted pre-event via your Investor Meet Company dashboard up until 9am the day before the meeting or at any time during the live presentation.

Investors can sign up to Investor Meet Company for free and add to meet ORACLE POWER PLC via:

https://www.investormeetcompany.com/oracle-power-plc/register-investor

Investors who already follow ORACLE POWER PLC on the Investor Meet Company platform will automatically be invited.

*Ends*

For further information:

 
 Oracle Power PLC 
  Naheed Memon (Chief Executive Officer)                 [phone] 
 
  Strand Hanson Limited (Nominated Adviser & Broker) 
  Rory Murphy, Matthew Chandler, Rob Patrick             [phone] 
Buchanan                                               [phone] 
 Oonagh Reidy/ Abigail Gilchrist                        [e-mail] 
 

About CET

CET is a wholly-owned subsidiary of State Grid Corporation of China, the largest power producer in the world by revenue in 2021. The MoU with CET, which has a mandate to finance, build, operate and maintain large renewable power generation projects within and outside of China, is focused on accelerating the development of Oracle Energy's Green Hydrogen Project, which includes the construction of a Hybrid Renewable Energy Production and Storage facility, combining 700MW of solar and 500MW of wind power, and battery storage.

About SIDRI

SIDRI are experts and leading innovators in the fields of design and research. The Shanghai based company was founded in 1954 and joined the Three Gorges Group in 2014, becoming the world's largest hydropower development and operation enterprise and the largest clean energy group in China. Its work in Pakistan includes study work for the Three Gorges Third Jhimpir Wind Farm, Karot Hydropower Project, and Thar Coalfield Block II Mining and Power Project.

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May 30, 2023 02:00 ET (06:00 GMT)