Heliogen, Inc. (NYSE: HLGN), which specializes in AI-enabled concentrating solar energy announced a collaboration with The City of Lancaster, California to produce solar hydrogen that will be purchased by the city to meet its increasing demand for green hydrogen.
This partnership marks Lancaster’s first hydrogen offtake agreement.
As part of this recently announced agreement, Heliogen will deliver green hydrogen to the city and certify its carbon intensity. This is a measure of the CO2 emitted per kilogram of the hydrogen that is produced.
The solar hydrogen will be produced at Heliogen’s Proxima hydrogen facility in Lancaster. This production of green hydrogen via solar thermal will leverage the company’s innovative technology using artificial intelligence (AI) and advanced computer vision software. The advanced technology concentrates sunlight with mirrors to produce carbon-free hydrogen.
Ultimately, Proxima could assist other projects within Lancaster and the region, such as projects involving sustainable aviation fuel as well as the sales and distribution of H2 for industrial processes like mining, cement, and long-haul trucking.
The solar hydrogen project will help further Lancaster’s vision to become a clean hydrogen leader.
The collaboration between the City of Lancaster and Heliogen will expand Lancaster’s vision to become a model and leader for H2 as a clean and alternative energy source for municipalities. It is the US’ first city to welcome hydrogen power and is the first winner of the DOE’s H2 Twin Cities Initiative.
“As America’s first hydrogen city, Lancaster is proud to pioneer innovative solutions to drive change and decarbonize our economy,” said R. Rex Parris, Mayor, City of Lancaster, in a recent news release announcing the collaboration.
“This agreement underscores the incredible potential to rapidly develop and commercialize green hydrogen as a key pathway for a decarbonized economy,” added Heliogen CEO Christie Obiaya.
Significant cost savings.
The recent solar hydrogen agreement between Heliogen and Lancaster builds upon the previous memorandum of understanding they forged for establishing a clean H2 generation facility. It is reportedly anticipated to contract hydrogen conforming to SAE J2719 HFC vehicle specifications at $10/kg offtake price.This wholesale-level price signifies a notable cost savings for Lancaster amid swiftly increasing prices at hydrogen refueling stations across the state of California.
Obiaya believes that the value of Heliogen’s patented breakthrough solar hydrogen technology to generate cost-effective clean hydrogen, “will accelerate adoption of this critical, multi-use form of clean fuel all over the world.”