Vema Hydrogen has signed a non-binding letter of intent (LOI) with critical minerals explorer First Atlantic Nickel & Cobalt Corp. to jointly develop Engineered Mineral Hydrogen (EMH) at the Pipestone XL project, located in Canada’s central Newfoundland.
Under the LOI, the companies plan to establish a 50/50 joint venture to produce low-carbon hydrogen alongside First Atlantic’s awaruite nickel-cobalt program.
Spanning a 30-kilometre ultramafic rock belt, the Pipestone Ophiolite Complex is believed to hold enough potential hydrogen to power the region’s industrial demand for generations.
The project will create a global template for co-locating clean fuels with critical mineral extraction.
Unlike conventional green hydrogen, which relies heavily on grid electricity and expensive water electrolysis, Vema’s EMH technology generates high-purity hydrogen by stimulating naturally occurring geochemical reactions within iron-rich subterranean rocks.
“Vema’s Engineered Mineral Hydrogen is on the verge of delivering clean energy at a scale cost-competitive with hydrocarbons,” said Dr. Douglas Wicks, Strategic Advisor to First Atlantic & Cobalt and former Program Director for ARPA-E’s MINER program and Geologic Hydrogen portfolio.
“Awaruite forms through serpentinisation when hydrogen reduces nickel and iron, so its presence at Pipestone XL is a clear signature of a hydrogen-rich system.
“Vema’s technology could engineer that same reaction for hydrogen production, and Pipestone XL is an ideal location due to its size, proximity to infrastructure, and the potential for cost efficiencies in co-locating hydrogen production with nickel and cobalt mining.”
Over the past year, the companies have analysed regional geological data, culminating in successful laboratory testing at Vema’s facility in France.
Tests on Pipestone core samples confirmed high hydrogen yields under simulated conditions, mirroring results from Vema’s existing commercial site in Quebec.
First Atlantic CEO Adrian Smith highlighted that locally produced hydrogen could ultimately supply the on-site energy needs of the entire mining district, significantly reducing reliance on fossil fuels and long-distance transport.
Vema Hydrogen CEO Pierre Levin added that with validated samples and permitting already in place, the venture has a clear path forward to advance EMH at the site and expand the model across North America.