McDermott has secured an Early Contractor Involvement (ECI) agreement from Abraxas Power Corporation for the Exploits Valley Renewable Energy Corporation (EVREC) project in Central Newfoundland, Canada. This initiative aims to establish the country's first commercial green hydrogen and ammonia production facility. The project is ambitious, featuring a 530-turbine wind farm capable of delivering 3.5 GW of electricity and a 150 MW solar photovoltaic system. The facility is designed to produce 165 kilotons per annum (kta) of hydrogen and 5000 metric tons per day of ammonia. McDermott's responsibilities under the agreement include providing front-end engineering design (FEED), engineering, procurement, and construction (EPC) planning services for the hydrogen and ammonia production, as well as product storage components of the project. The work will be primarily managed from McDermott's Houston office with additional support from its Gurgaon office in India, showcasing the global nature of the project. Despite the positive developments in green hydrogen, concerns have been raised by the International Energy Agency (IEA) Executive Director, Fatih Birol. Birol noted that while there is significant interest and numerous projects in the pipeline, only a small fraction, around 7%, are projected to be operational before 2030. This discrepancy between expectations and reality is attributed to delays in project decision-making, lack of demand from off-takers, and the high costs associated with production. To address these challenges, Birol emphasized the importance of consistent policies to stimulate demand for hydrogen and encourage investor confidence. He called on governments to play an active role in creating a supportive regulatory framework for the sector. Despite the cautionary remarks, McDermott's involvement in the EVREC project signifies a step towards advancing green hydrogen production and contributing to the renewable energy landscape.