Pure Hydrogen reaches its first ever South American agreement after executing MoU with Brazil’s Piauí state
MoU sets framework for company to help establish Piauí as a green hydrogen hub
Company will use expertise in manufacturing and designing HFCVs alongside appropriate hydrogen infrastructure
Special Report: Pure Hydrogen could soon be supplying hydrogen fuel cell vehicles (HFCV) to the state government of Piauí in Brazil under an agreement to foster development of its green hydrogen economy.
The company’s 60%-owned subsidiary H-Drive International has developed a range of hydrogen fuel cell powered vehicles including a refuse truck, a heavy truck and a low floor city bus, as well as its battery electric commercial vehicles which have attracted considerable attention in the form of trials and initial orders.
It also has the ability to assemble up to 200 vehicles a month.
Pure Hydrogen (ASX:PH2) already has three six-month trial commitments, as well as eight firm vehicle orders for delivery this year including a US$1.22m purchase order for a 6X4 50t prime mover and 54-seater coach from California-based Nutcher Hydrogen.
It also has a significant pipeline for further sales with >100 truck options subject to successful trials.
Managing Director of Pure Hydrogen and the Governor of Piaui, Brazil on signing a MOU. Image Supplied.
Brazilian expansion
Pure Hydrogen has now entered into a memorandum of understanding with Brazil’s Piauí state government – its first in South America – to assist in the development of hydrogen solutions as part of the state’s clean energy transition.
The MOU, which has an initial term of two years, sets out the framework for the company to leverage its expertise in the manufacturing and design of HFCV, alongside appropriate hydrogen infrastructure solutions, as part of the policymakers’ stated strategy to establish Piauí as a green hydrogen hub in the Brazilian economy.
It will also facilitate collaboration between the parties for the development and rollout of several HFCVs currently manufactured by Pure Hydrogen.
Piauí state forms part of the highly populous northeast region and had posted the fastest rate of employment nationally in 2023, with strong digital infrastructure (+11,000km of optical fibre) that supports the highest internet speeds in Brazil.
Its inherent advantages include abundant water, favourable wind conditions and the São Gonçalo Solar Park – one of the largest solar parks in South America with more than 2.2 million solar panels – and have led to the state being flagged as a strategic hub for green hydrogen.
The state government has also committed to several initiatives to attract domestic and foreign investment, including the establishment of a free-trade zone and an operating hub for customs control activities.
MoU highlights expertise in hydrogen
“We are pleased to announcement this MOU with the State Government of Piauí, following an extensive period of negotiations and collaboration between the parties,” Pure Hydrogen Managing Director Scott Brown said.
“In setting out the framework for the manufacture and distribution of Pure Hydrogen’s market-leading suite of hydrogen vehicles into the Brazilian market, this agreement highlights the growing interest and recognition of the company’s technology across international markets.
“The fact we have secured this MOU highlights the quality of our product range and expertise in hydrogen components and associated infrastructure.
“Given the company’s increasingly strong track record to-date, Pure Hydrogen is now well positioned with a first-mover advantage to capitalise as national, state and local governments globally increasingly look towards transitioning to hydrogen-powered solutions for their heavy vehicle industries.”
State Governor of Piauí, Mr Rafael Polentes, commented:
“My administration is focused on leveraging our state’s unique advantages to place Piauí at the forefront of the shift towards green hydrogen solutions, as part of the global clean energy transition. This MOU with Pure Hydrogen will facilitate direct collaboration with one of the world’s leading manufacturers of hydrogen vehicles, and we are pleased to be working Managing Director Scott Brown and the rest of the management teams to advance the growth of Piauí’s hydrogen economy. I look forward to highlighting the technological and logistical advances that will develop as a result of this partnership, and we remain excited by the economic growth opportunities that are inherent in this fast-growing sector.”
This article was developed in collaboration with Pure Hydrogen, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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