Fortescue's Project Coyote: Navigating Green Hydrogen Challenges in Prince George
Key Ideas
  • Fortescue Minerals Group plans to prioritize green hydrogen projects in Australia, the U.S., Norway, and Brazil over the Project Coyote in Prince George due to better economics.
  • Project Coyote, a $2-billion green hydrogen initiative, aims to be one of Canada's largest projects, creating over 100 jobs once operational.
  • Despite concerns about power requirements and economic viability, Mayor Simon Yu remains optimistic about the project's future and emphasizes the need for cost-effective green power.
  • The future of Project Coyote hinges on crunching the numbers to determine the feasibility of sourcing 1,000 megawatts of power, which represents 90% of the Site C dam's capacity.
The $2-billion green hydrogen project, Project Coyote, proposed by Fortescue Minerals Group for Prince George, Canada, is facing challenges as the company shifts its focus to more economically viable ventures in Australia, the U.S., Norway, and Brazil. Despite reports of the project being paused, Mayor Simon Yu remains hopeful that the initiative will eventually come to fruition. The project, if realized, aims to become one of Canada's largest green hydrogen and green ammonia projects, promising over 100 job opportunities. Concerns have been raised regarding the substantial power requirements of 1,000 megawatts, equivalent to 90% of the generating capacity of the Site C dam. Mayor Yu acknowledges the significance of cost-effective green power, highlighting the need for power costs to be around US$30 to ensure project viability. The decision-making process for Project Coyote is currently on hold as Fortescue Minerals Group awaits crucial data related to power costs and electricity demands from other industries in the region. The project is still under review by the B.C. Environmental Assessment Office, with no official request for a pause or withdrawal from Fortescue. Mayor Yu remains optimistic that once all necessary information is available, the project will progress with the support of BC Hydro, the Minister of Energy and Mines, and the Low Carbon Innovation sector.
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