Electric Hydrogen’s Post

This follows $65M from the government and $50M in equipment financing from Trinity Capital. Solving unprecedented technical problems becomes a lot easier with support from the feds, from the biggest financing institutions, and, most importantly, with money in the bank.

Partnerships are the future…

A report prepared by Bain & Company for the World Economic Forum on “Green Hydrogen: Enabling Measures Roadmap for Adoption in India” has called for a ‘green hydrogen purchase obligation’ to spur domestic demand. https://trib.al/uST4Zjy

A well crafted commentary on #transition from Commonwealth Bank ‘s Andrew Hinchliff. This paragraph particularly caught my eye: “We’re also working with farmers and innovators to pilot carbon measurement solutions, and new sequestration methodologies and technologies that can help spur supply. To support project developers, we have offered Australian Carbon Credit Unit pre-pays that provide capital upfront to facilitate investment in supply.” The use of #prepayments in the #energytransition is a great idea. I’ve been looking at this for a couple of transactions. Not just for #accu flows but for #renewables capital investment also. Imagine this scenario: A renewables developer negotiates a long term Power Purchase Agreement (PPA) with a quality corporation for the supply of #greenelectrons. A smart bank (or more likely a smart and agile private credit fund) advances a prepayment against the PPA and provides all the funding needed to build the project. Perhaps with bundled green credits from the avoided emissions and some Export Credit Agency underwriting from the equipment manufacturer providing the #windturbines or the #pvsolar equipment. The bank or fund is repaid from the regular contractual revenues from the PPA. Now that would be smart financing.

ABN AMRO Bank N.V. announces investment in the Clean Hydrogen Equipment Fund of Hy24.   As one of the most advanced European banking institutions in climate and sustainable investments (dedicated hydrogen sector team, €1bn early stage capital dedicated to energy transition, net zero target by 2030, member of the Net Zero Banking Alliance…), we are delighted to welcome ABN AMRO Bank N.V. as a limited partner in our fund dedicated to #scaling up the low carbon #hydrogen equipment manufacturers.   Strategically, this is also an important addition to our LP base due to its strong network and large customer base in the Netherlands and north-west of Europe. Indeed, the NL is due to play a critical role for the development of an hydrogen ecosystem in Europe: 👉 A major logistics platform: The NL will be one of the most important European logistics platform for the green hydrogen molecules and their derivatives thanks to its geographic positioning, its major ports, its natural gas pipelines (which will be partly repurposed for hydrogen) and other infrastructures. The country targets to have 20 mT of hydrogen go through their harbors by 2050 (c.20% of expected European demand by then). The NL also has MoUs in place to create supply corridors with Spain, Namibia, Chile, Singapore… 👉 An ambitious national strategy: The country also has an ambitious development plan to reach 3-4 GW #electrolysis capacity by 2030, up from 3 MW at the end of 2021, and has set up the highest level of subsidies per GW of electrolyser across Europe 👉 A significant lead in the development of hydrogen: The largest green hydrogen plant to date in Europe is under construction in the Port of #Rotterdam (200 MW electrolyser), and the country is also building the world’s first national hydrogen pipeline network   🚀 The installed capacity of all types of equipment in the world to produce, convert, store, distribute and use clean hydrogen will need to be multiplied by c.x100 across the value chain by 2030. We are very happy to have ABN AMRO Bank N.V. as a partner to support us in meeting this challenge. Hy24 ABN AMRO Bank N.V. Pierre-Etienne Franc Laurent Fayollas Nicolas Brahy Mathieu Maroun Raphaëlle Muhlmann-Eytan Nicole Vermeulen Meriem Benhassine Fuertes Guillaume Jeanrot Mark Cornelis Julie BURGERMEISTER Aleksandra Lebrethon Floris Lyppens Peter Dietze Joris Hermsen Milou Nijmeijer https://lnkd.in/e8siNqyz

The BBVA Clean Energy Fixed Income Autocall note observed its third income observation since inception on the 11th April 2023. Given it is a fixed interest, guaranteed coupon, the 3% coupon was automatically triggered, and payment from the investment bank, BBVA, will reach your account in the next day or so. The next observation is on 2nd April 2024 which also coincides with the one-year anniversary of the investment and its first autocall opportunity. In relation to the autocall opportunity, currently General Electric and Vestas are trading well above their required Autocall level, however we are only almost one year in on a four-year maximum term. For the note to Autocall (mature early), all four of the underlying stocks need to be above 100% of their start price at an observation date. With time on our hands, the 12% guaranteed coupon per annum is thus highly attractive. Interest rates have plateaued in the US, and we await further direction on when rate cuts may happen. Clean energy stocks are very sensitive to interest rate movements, and a reduction in rates will clearly move valuations of the underlying basket higher, creating further opportunity for autocalls as we progress. The clean energy trend is still very much front and centre of the major megatrend in shifting away from hydrocarbon fuels over the longer term. We shall report to you again after the 2nd April 2024 observation. Visit our Website: www.cashbox.global

PLMJ has advised Millennium bcp and CaixaBI, on the issuance of bonds by Greenvolt Group, with a global value of €100 million. They will be called “Bonds Greenvolt 2024-2029” and are already fully subscribed. The PLMJ team involved on this operation, was led by Raquel Azevedo (pictured), partner in the banking and finance and capital markets practice. The team included lawyers from the same area, Rita Sacadura Orvalho, senior consultant, and André da Gama Loureiro, associate, also contributing in the areas of tax and energy. Greenvolt is one of the largest companies in Europe in the renewables sector. Read the article >> https://lnkd.in/d8G4kW6j #IberianLawyer #legaladvisor #issuance #bonds #renewables

Another great example of the expertise of UniCredit, who acted as sole Structuring Mandated Lead Arranger and Global Coordinator & Bookrunner, as well as Facility Agent, SACE Agent, Account Bank and Hedging Bank in this landmark transaction, confirming again our leadership role in the sustainable finance space and the importance of “doing the right thing” by supporting the energy transition, providing concrete solutions to accelerate the journey of customers and the communities toward a more equitable and sustainable future

It's official: Air Liquide is now a regular issuer of green bonds. The Group successfully launched its second #greenbond issue, following an inaugural offering in 2021. This allowed us to raise 500 million euros with a 10 year maturity at a very competitive all-in yield of 3.466%, despite a busy market day. The success of this significantly oversubscribed issuance illustrates the market’s confidence in Air Liquide's capacity to develop technologies and projects which contribute in particular to the #decarbonization of Industry and Mobility. Indeed, the proceeds of this bond will notably be dedicated to financing low-carbon air gases, low-carbon #hydrogen, and #carbon capture projects. In each of these fields, the Group has developed innovative solutions, such as hydrogen production by water electrolysis, carbon capture for hard-to-abate industries and Air Separation Units specially adapted to renewable energy. This new issuance also confirms our commitment to make Air Liquide’s Finance department a core contributor of the Group’s #sustainability objectives. Green bonds are a significant part of it, but not all of it. In 2019, the Group aligned its syndicated credit line to three #CSR objectives. And in 2023, it signed the first green loan worldwide  to finance low-carbon hydrogen production units in China. Not to mention the fact that our strategic plan for 2025, ADVANCE, inseparably links financial and extra-financial performances. Congratulations to the teams for this very successful transaction! 🙏 Jacques Molgo Guillaume Serey Thomas Lemée Chloé Audrin Yâsmine Najid Guillaume De Smedt 

Carbon capture and storage (#CCS) is getting a lot of attention lately. The banking industry has a significant role to play in its future. Dutch bank ING has published an article on its expectations for CCS and its intersection with the banking industry. #sustainability #bankingindustry #carboncapture