ABB has signed a Memorandum of Understanding (MoU) with Charbone Hydrogen, a green hydrogen production company based in Montreal, Canada. The partnership aims to develop up to 15 modular and scalable green hydrogen production facilities across North America over the next five years. These facilities will provide a clean fuel source for industries currently relying on ‘grey hydrogen,’ such as steelmaking and other heavy industrial processes.
As part of the MoU, ABB will become the preferred supplier for the design, engineering, and supply of modular electrical substations. These substations will connect production facilities with local utilities. ABB will also help Charbone standardize engineering processes and improve energy efficiency across its project portfolio. Depending on the project needs, ABB could also take on roles as the main contractor for automation, electrification, and telecom systems.
One of the key sites for this partnership is Charbone’s facility in Sorel-Tracy, located near Montreal. The plant is set to connect to the Hydro-Québec grid by the second quarter of 2025, and it will use hydroelectric power to run electrolysers that produce green hydrogen. This facility will serve as a model for future projects, helping to shape the design and engineering of modular equipment for other plants Charbone plans to develop. The next project is set to begin in the Detroit area, a major hub for the automotive industry in the United States.
Daniel Charette, Chief Operating Officer of Charbone Hydrogen, commented, “This collaboration with ABB is a significant step for our green hydrogen initiative in North America. With the Sorel-Tracy project advancing quickly, and our modular approach enabling rapid production, Charbone will play a key role in supporting the decarbonization of industry.”
In 2023, global hydrogen demand, primarily driven by the refining and chemical sectors, reached 97 million tons (Mt), reflecting a 2.5% increase from the previous year. Low-emission hydrogen production, however, accounted for less than 1 Mt. This could rise to 49 million tons per year by 2030, based on currently announced projects.
