Calgary-based TC Energy is evaluating plans to build a hydrogen production hub in southern Alberta—key transportation corridor for long-haul trucks—near a site where the company currently operates a natural gas storage facility.

Nikola, a Phoenix-based zero-emissions transportation startup, would be the hub’s anchor customer for its long-haul fuel cell electric vehicles.

The hydrogen production hub would be built on 140 acres located about 50 kilometres from the Crossfield natural gas storage facility that holds about 68 billion cubic feet of natural gas.

“With our focus on creating low-carbon solutions for businesses, we’ve identified our Crossfield site as a hub to produce and distribute hydrogen to serve long-haul transportation, power generation, large industrials and heating customers across the United States and Canada,” said TC Energy's executive vice president Corey Hessen.

The proposed hub would produce an estimated 60 tonnes of hydrogen per day, with the ability to expand and produce as much as 150 tonnes per day in the future. The gas used in the hydrogen production process would come from TC Energy’s gas storage facility.

“The CO2 generated during this process is then captured and sequestered, lowering the emissions to meet clean-energy standards,” the companies said.

TC Energy expects a final investment decision in 2023, subject to regulatory approvals.

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