ValueTheMarkets News Commentary – Developing renewable hydrogen is one of the European Union's key priorities for decarbonizing the continent. But 96% of the hydrogen used in Europe's energy consumption was produced with natural gas, resulting in significant CO2 emissions. Government investment is likely on the way, giving the right companies a serious growth opportunity. This article analyses the subject with reference to Air Liquide SA (OTC: AIQUY), Linde PLC (NYSE: LIN), Siemens AG (OTC: SIEGY) and Jericho Energy Ventures (TSX.V: JEV) (OTC: JROOF).
One example that underscores the opportunity stems from the European Commission's Green Deal Industrial Plan. This document outlined plans to launch an auction for supporting renewable hydrogen production. Winners are set to receive a fixed premium for each kg of renewable hydrogen produced over 10 years.
The different businesses discussed in this article are making a variety of moves to capitalize on the hydrogen opportunity. These range from investing in hydrogen production plants or methods of green hydrogen generation, all the way through to innovative hydrogen technologies that will allow different sectors to decarbonize their operations.
Jericho Energy Ventures (TSX.V: JEV) (OTC: JROOF) has developed a wide range of green hydrogen technologies. Primary among these is its patented zero-emission DCCTM hydrogen-fueled steam boiler, which targets the underserved industrial and commercial markets.
Through this cutting-edge innovation, the company has gained exposure to the growing hydrogen opportunity in Europe. That's because its EU partner, Exogen, is offering a first-of-its-kind Hydrogen Steam Plant, featuring the state-of-the-art boiler technology.
In more good news for Jericho, Exogen has bagged a memorandum of understanding with leading European green hydrogen producer Lhyfe. The duo will work together on the joint operation of industrial steam plants and mobility solutions powered by green hydrogen. This move could open large new markets for industrial steam and district heating growth, potentially greatly benefitting this small-cap.
This potential might be why some analysts are already branding this stock a BUY!
Air Liquide SA (OTC: AIQUY) produces, markets, and sells industrial and healthcare gases, including liquid nitrogen, argon, carbon dioxide, and oxygen. The company also produces welding, diving, and technical-medical equipment.
The French industrial gases specialist has made energy transition and hydrogen infrastructure construction key targets for the future. As part of these goals, the company is embracing hydrogen energy.
One example of this was announced in June when it agreed to a wind power purchase agreement with green energy giant Statkraft. This agreement will result in renewable energy being used to power the French giant's new electrolyser plant in Oberhausen, Germany, to produce renewable hydrogen at an industrial scale.
Some of the planned infrastructure is incredibly ambitious, including the mooted creation of a hydrogen airport. This project has seen the company team up with Groupe ADP, with the duo facilitating the introduction of hydrogen planes in approximately 30 airports around the world.
Linde PLC (NYSE: LIN) is an industrial gas and engineering company that offers industrial gases, technologies, and gas processing solutions. The German company has made major commitments to exploiting the clean energy opportunity in Europe, stating in February that it will invest as much as $9bn in green technology over the next three years.
The business has been backing up this ambition too. After finishing Greece's first-ever green hydrogen electrolysis plant, regional CEO Oana Reiber said the company wanted to "achieve decarbonisation in all sectors of industry and automotive".
It has achieved some world firsts beyond production too, as the business looks for other areas that are ripe for hydrogen innovation. For example, this year has seen the business announce its development of the first-ever hydrogen ferry.
The MF Hydra started commercial operations in March with a fuel containment system built, developed and installed by the chemicals giant.
Siemens AG (OTC: SIEGY) is a German engineering and manufacturing company, focusing on areas such as electrification, automation, and digitalization. It also provides engineering solutions in automation and control, power, transportation, and medical diagnosis.
The business has notably been turning its attention towards hydrogen power.
Last year, the company announced plans for one of the largest green hydrogen generation plants in Germany. The announcement stated the plant will use wind and solar power to produce green hydrogen through an 8.75-megawatt electrolyzer. The project, which will serve the industrial, commercial and road transport markets, is expected to produce 1,350 tons of hydrogen every year.
Beyond this, the company has also joined forces with the already referenced Air Liquide to produce industrial-scale renewable hydrogen electrolyzers. A statement from the company said the hope of the project is to foster a European ecosystem for electrolysis and hydrogen technology.
The hydrogen opportunity in Europe is huge and companies are scrambling to find the best way to contribute. Some, like Siemens and Air Liquide, seem focused on the generation of hydrogen and green hydrogen. Others, such as Jericho, have developed exciting technology that provides hard-to-abate sectors with a way to use the influx of newly available green hydrogen to decarbonize their operations. Then there are the likes of Linde, which are attempting to juggle both approaches.
IMPORTANT NOTICE AND DISCLAIMER
This communication is a paid advertisement. ValueTheMarkets is a trading name of Digitonic Ltd, and its owners, directors, officers, employees, affiliates, agents and assigns (collectively the "Publisher") is often paid by one or more of the profiled companies or a third party to disseminate these types of communications. In this case, the Publisher has been compensated by Jericho Energy Ventures Inc. to conduct investor awareness advertising and marketing and has paid the Publisher the equivalent of two hundred and sixty thousand US dollars to produce and disseminate this and other similar articles and certain related banner advertisements. This compensation should be viewed as a major conflict with the Publisher's ability to provide unbiased information or opinion.
CHANGES IN SHARE TRADING AND PRICE
Readers should beware that third parties, profiled companies, and/or their affiliates may liquidate shares of the profiled companies at any time, including at or near the time you receive this communication, which has the potential to adversely affect share prices. Frequently companies profiled in our articles experience a large increase in share trading volume and share price during the course of investor awareness marketing, which often ends as soon as the investor awareness marketing ceases. The investor awareness marketing may be as brief as one day, after which a large decrease in share trading volume and share price may likely occur.
NO OFFER TO SELL OR BUY SECURITIES
This communication is not, and should not be construed to be, an offer to sell or a solicitation of an offer to buy any security.
Neither this communication nor the Publisher purport to provide a complete analysis of any company or its financial position. This communication is based on information generally available to the public and on an interview conducted with the company's CEO, and does not contain any material, non-public information. The information on which it is based is believed to be reliable. Nevertheless, the Publisher does not guarantee the accuracy or completeness of the information. Further, the information in this communication is not updated after publication and may become inaccurate or outdated. No reliance should be placed on the price or statistics information and no responsibility or liability is accepted for any error or inaccuracy. Any statements made should not be taken as an endorsement of analyst views.
NO FINANCIAL ADVICE
The Publisher is not, and does not purport to be, a broker-dealer or registered investment adviser or a financial adviser. The Publisher has no access to non-public information about publicly traded companies. The information provided is general and impersonal, and is not tailored to any particular individual's financial situation or investment objective(s) and this communication is not, and should not be construed to be, personalized investment advice directed to or appropriate for any particular investor or a personal recommendation to deal or invest in any particular company or product. Any investment should be made only after consulting a professional investment advisor and only after reviewing the financial statements and other pertinent corporate information about the company. Further, readers are advised to read and carefully consider the Risk Factors identified and discussed in the advertised company's SEC, SEDAR and/or other government filings. Investing in securities, particularly microcap securities, is speculative and carries a high degree of risk. Past performance does not guarantee future results.
FORWARD LOOKING STATEMENTS
This communication contains forward-looking statements, including statements regarding expected continual growth of the featured companies and/or industry. Statements in this communication that look forward in time, which include everything other than historical information, are based on assumptions and estimates by our content providers and involve risks and uncertainties that may affect the profiled company's actual results of operations. These statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results and performance to differ materially from any future results or performance expressed or implied in the forward-looking statements. These risks, uncertainties and other factors include, among others: the success of the profiled company's operations; the size and growth of the market for the company's products and services; the company's ability to fund its capital requirements in the near term and long term; pricing pressures; changes in business strategy, practices or customer relationships; general worldwide economic and business conditions; currency exchange and interest rate fluctuations; government, statutory, regulatory or administrative initiatives affecting the company's business.
INDEMNIFICATION/RELEASE OF LIABILITY
By reading this communication, you acknowledge that you have read and understand this disclaimer in full, and agree and accept that the Publisher provides no warranty in respect of the communication or the profiled company and accepts no liability whatsoever. You acknowledge and accept this disclaimer and that, to the greatest extent permitted under applicable law, you release and hold harmless the Publisher from any and all liability, damages, injury and adverse consequences arising from your use of this communication. You further agree that you are solely responsible for any financial outcome related to or arising from your investment decisions.
All trademarks used in this communication are the property of their respective trademark holders. Other than valuethemarkets.com, the Publisher is not affiliated, connected, or associated with, and the communication is not sponsored, approved, or originated by, the trademark holders unless otherwise stated. No claim is made by the Publisher to any rights in any third-party trademarks other than valuethemarkets.com.
valuethemarkets.com and Digitonic Ltd and our affiliates are not responsible for the content or accuracy of this article. The information included in this article is based solely on information provided by the company or companies mentioned above. This article does not provide any financial advice and is not a recommendation to deal in any securities or product. News and research are not recommendations to deal, and investments may fall in value so that you could lose some or all of your investment. Past performance is not an indicator of future performance.ValueTheMarkets do not hold any position in the stock(s) and/or financial instrument(s) mentioned in the above piece. ValueTheMarkets have been paid to produce this piece by the company or companies mentioned above. Digitonic Ltd, the owner of valuethemarkets.com, has been paid for the production of this piece by the company or companies mentioned above.
+44 141 530 4080
View source version on newsdirect.com: https://newsdirect.com/news/which-stocks-are-ready-for-europes-hydrogen-opportunity-265069846
Jericho Energy Ventures
Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No Herald Quest journalist was involved in the writing and production of this article.