Nikola Corporation and Fortescue Future Industries (FFI) have announced a new project that will create American green energy jobs and reduce emissions. FFI will acquire Nikola’s Phoenix Hydrogen Hub (PHH) project to develop an electrolysis-based hydrogen production facility and support Nikola’s hydrogen fuel cell electric trucks. The project is located in Buckeye, Arizona.
The acquisition is fully aligned with Nikola’s strategy of collaborating with partners interested in the hydrogen energy ecosystem that Nikola is pioneering.
The PHH project is considered a fast-to-market, green hydrogen project, and will be built in phases to scale alongside demand. It is expected to progress towards its first hydrogen production by the middle of this decade.
According to Nikola Corporation President and CEO, Michael Lohscheller, “Nikola’s priority is to see more zero-emission trucks on the road and this acquisition by FFI will greatly strengthen one of the country’s first and most important hydrogen hubs.” Lohscheller adds that the acquisition is a significant milestone as they work to create an all-important local connective infrastructure to accelerate the use of hydrogen to fuel zero-emission vehicles.
FFI is committed to helping turn North America into a world-leading global green energy producer. FFI CEO, Mark Hutchinson, says this is an exciting opportunity to work towards a fast-moving project that will lead the way in the U.S. and create new green industrial jobs for Americans. Moreover, it helps to reduce emissions once production begins.
The Buckeye Mayor, Eric Osborn, also expressed his support for attracting clean energy businesses like the PHH project to his city. “Buckeye is committed to attracting clean energy businesses to the city, especially near the Sustainable Valley area. This facility adds to our ‘green’ portfolio, making Buckeye the perfect location for similar technologies to expand and grow in our community.”
The PHH project is currently going through the final stages of the permitting process, and the procurement of long-lead equipment is currently underway.
Nikola and FFI are working towards a hydrogen supply agreement to support Nikola’s hydrogen fuel cell electric vehicle demand. The large-scale deployment of hydrogen as a zero-emission fuel in the transportation sector is expected to benefit from both the hydrogen tax credit in the federal Inflation Reduction Act and state-level incentives such as the Low Carbon Fuel Standard in California.
The acquisition of Nikola’s Phoenix Hydrogen Hub project by Fortescue Future Industries shows a steadfast commitment to developing green energy production and technology, creating American green energy jobs, promoting hydrogen fuel cell electric vehicles, and reducing emissions. This is a significant step towards achieving a sustainable and decarbonized future in the transportation sector.
In conclusion, this collaboration between FFI and Nikola aims to co-develop large-scale green hydrogen production facilities in the United States. It contributes to the transition towards a sustainable and decarbonized transportation sector, which is one of the country’s most significant contributors to greenhouse gas emissions.
With this project, the US is one step closer to achieving its emissions goals and making the transportation sector more sustainable.
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