McDermott Secures ECI Contract for Canada's First Green Hydrogen Project
Key Ideas
  • McDermott has secured an ECI contract for the Exploits Valley Renewable Energy Corporation (EVREC) project in Central Newfoundland, Canada.
  • The project involves developing Canada's first commercial green hydrogen and ammonia production facility, along with a large-scale wind farm and solar photovoltaic installation.
  • The facility will have the capability to produce 165kta of hydrogen and 5000 metric tons per day of ammonia, contributing significantly to the energy transition.
  • McDermott's industry expertise and integrated delivery model are expected to drive cost savings, reduce risks, and ensure quality assurance for this groundbreaking project.
McDermott, a prominent engineering and construction solutions provider in the energy industry, has been awarded an Early Contractor Involvement (ECI) contract by Abraxas Power Corporation for the Exploits Valley Renewable Energy Corporation (EVREC) project situated in Central Newfoundland, Canada. This project marks a significant milestone as it represents Canada's inaugural commercial green hydrogen and ammonia production facility. The ambitious initiative includes the establishment of a 530-turbine wind farm capable of generating 3.5 gigawatts (GW) of electricity and a 150-megawatt (MW) solar photovoltaic (PV) installation. The envisioned facility will possess the capacity to produce 165 kilotons per annum (kta) of hydrogen and a staggering 5000 metric tons per day of ammonia. Rob Shaul, McDermott's Senior Vice President of Low Carbon Solutions, expressed confidence in the company's capabilities by stating that the agreement underscores McDermott's exceptional delivery and installation proficiency. Shaul highlighted the firm's century-long experience in managing projects from inception to completion, emphasizing their integrated delivery model that allows them to provide Abraxas Power Corporation with a repeatable modular implementation solution. This solution is anticipated to yield cost efficiencies, mitigate risks, and ensure the delivery of high-quality outcomes. As part of the agreement, McDermott is tasked with providing front-end engineering design (FEED), engineering, procurement, and construction (EPC) execution planning services, and an open book EPC cost estimate specifically tailored for the hydrogen production, ammonia processing, and product storage components of the EVREC project. The execution of the work will primarily be overseen from McDermott's Houston office, with auxiliary support coming from its Gurgaon office in India. This strategic collaboration between McDermott and Abraxas Power Corporation is positioning the companies at the forefront of sustainable energy solutions, heralding a new era in Canada's renewable energy landscape.
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