According to the termsheet, the parties have agreed to jointly establish a new Canadian company whose objective will be the construction of a facility for the production of green hydrogen and carbon dioxide, with an annual capacity of 3,700 tons of H₂ and 36,000 tons of CO₂. The production technology will leverage biomass gasification technology developed by Hydrogenium PSA, a subsidiary of HyEnergy.

HyEnergy will contribute a non-cash asset to the new entity in the form of a license granted by Hydrogenium PSA for plasma biomass gasification technology, accompanied by technical and construction designs for the facility and detailed know-how on using the installation for green hydrogen production.

Hydrogenium PS.A., a subsidiary of HyEnergy, holds intellectual property rights to plasma biomass gasification technology, which has been under development and research for over two decades. As a result of these efforts, a solution has been developed that enables highly efficient conversion of carbon (at extremely high temperatures and voltage) contained in biomass into synthesis gas. This syngas can then be used for green hydrogen production and subsequently for e-methanol synthesis. The innovative solution facilitates the rapid conversion of various types of biomass into pure syngas, free of tar, with a high hydrogen content (exceeding 50%) and carbon monoxide (exceeding 30%).
Pilot studies conducted on a demonstration line have shown high hydrogen production efficiency in the biomass gasification process, achieving production costs as low as 1–2 Euros per kilogram of hydrogen produced.

The new company is expected to be established by January 15, 2025.