​Hydrogen production project approved in Saskatchewan

Saskatchewan Energy Minister Bronwyn Eyre

Saskatchewan is set to welcome an innovative ‘first-of-its-kind’ hydrogen production project under the Saskatchewan Petroleum Innovation Incentive (SPII).

Proton Technologies will deploy its patented process to extract hydrogen from existing oil reservoirs, while the carbon dioxide will remain trapped in the ground.

“Saskatchewan is a leader in the natural resource sector and continues to pilot new developments and technologies that benefit both the economy and the environment,” Energy and Resources Minister Bronwyn Eyre said. “This hydrogen project is a win-win: it has a low-cost structure and will emit zero emissions.”

The SPII was created to support the commercialization of significant innovations in the petroleum and natural gas sectors in the province. The program offers a 25 per cent transferrable royalty credit on eligible innovation projects and is open to pilot and commercial scaling projects that demonstrate oil and gas innovation in an operational environment.

SPII will target projects related to improving oil and gas recovery, managing environmental impacts, value‐added processing and production byproduct commercialization.

“Saskatchewan is a great place to invest and do business, especially in the energy industry,” Proton Technologies chairman and CEO Grant Strem said. “We are excited to move ahead with the first commercial deployment of this technology in the world here in Saskatchewan, and we have exciting plans to further advance and scale this technology in future stages.”

“Our province looks forward to being the home of the world’s first zero-emission hydrogen oil reservoir extraction technology,” Kindersley MLA Ken Francis said. “This project already employs 14 people in the Kerrobert area and has the potential to employ up to 30 people by the end of the year, and lead to further economic diversification and growth, despite these challenging times.”

The hydrogen market is expanding globally, with increasing use in power generation, transportation fuel and feedstock in the chemical industry.

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