PHOENIX, Oct. 31,
2022 /PRNewswire/ -- Nikola Corporation (Nasdaq:
NKLA), a global leader in zero-emissions transportation and energy
supply and infrastructure solutions, and KeyState Natural Gas
Synthesis ("KeyState"), a clean hydrogen and chemicals
production facility under development, are working together to
create Pennsylvania's first
low-carbon hydrogen production value chain, which includes full
integration of commercial carbon capture and storage. The project
is intended to represent the transition to lower emissions
transportation, chemicals and manufacturing. The parties are
working towards a definitive agreement to expand the hydrogen
supply for Nikola's zero-emissions heavy-duty fuel cell electric
vehicles (FCEVs).
"Nikola's participation in the project will allow us to secure
sufficient volumes of hydrogen to underpin and accelerate the
adoption of zero-emission trucks by unlocking new customer demand
and enabling key investments in downstream hydrogen refueling
infrastructure in the Mid-Atlantic region," said Nikola President, Energy, Carey Mendes. "This will be key to our supply
strategy and will help develop our refueling network at scale.
Additionally, the low carbon, clean hydrogen will allow us to
maximize value under the Inflation Reduction Act and future
downstream fuel and dispensing incentive programs."
KeyState plans to supply Nikola with up to 100 tones per day of
low carbon hydrogen, which can supply fuel for up to 2,500 Nikola
Tre FCEVs and will displace over 51,000,000 gallons of fossil
diesel fuel per annum consumed.* Once operational in 2026, the
7,000 plus-acre KeyState site is expected to have the capacity to
store the CO2 associated with the hydrogen production and will
provide strategic reach and access to premium Mid-Atlantic FCEV
markets. KeyState will also produce ammonia and urea for industrial
and transportation markets, in addition to Nikola's hydrogen
mobility demand.
The KeyState project is expected to integrate carbon capture
from high-efficiency autothermal reforming with onsite geological
carbon sequestration and onsite close-system sourced natural gas
feedstock, all while generating zero-carbon electricity. A true
carbon circle will be completed, with the separation of 99% of
carbon from the hydrogen in methane and returning this CO2 to deep
underground onsite geological storage.
"KeyState has developed a replicable model for low carbon,
low-cost hydrogen at large scale production," said Perry Babb, CEO of project developer KeyState
Energy. "This project will have multi-county, multi-generation,
economic impact and job creation in a formerly booming Pennsylvania coal and rail region,
demonstrating that unprecedented emissions reduction and great
long-term job creation are both possible."
In addition to working toward the hydrogen supply agreement, the
parties are working together to develop a liquefaction solution to
support the economic and efficient distribution of hydrogen from
the project to Nikola's planned refueling network under
development. The parties also plan to support an application as a
principal project of the DOE Hydrogen Hub Program representing the
full-use hydrogen ecosystem from production through
demand.
*U.S. Department of Energy. (2020, February). Average Fuel
Economy by Major Vehicle Category
https://afdc.energy.gov/data/10310
About Nikola Corporation
Nikola Corporation is globally transforming the transportation
industry. As a designer and manufacturer of zero-emission
battery-electric and hydrogen-electric vehicles, electric vehicle
drivetrains, vehicle components, energy storage systems, and
hydrogen station infrastructure, Nikola is driven to revolutionize
the economic and environmental impact of commerce as we know it
today. Founded in 2015, Nikola Corporation is headquartered in
Phoenix, Arizona. For more
information, visit www.nikolamotor.com or
Twitter @nikolamotor.
About KeyState Natural Gas
Synthesis
KeyState – Pennsylvania,
KeyState Natural Gas Synthesis is a joint endeavor between
KeyState Energy (Project Developer) and Frontier Natural Resources
Inc. (Natural Gas & Geological Storage) in partnership with
OGCI Climate Investments. KSNGS will produce low-carbon hydrogen,
automotive grade urea (DEF) and ammonia from natural gas while
integrating carbon capture and storage in a closed carbon loop in
its 7,000-acre site in northern Pennsylvania. KSNGS will create hundreds of
constructions and long-term, high-value jobs, hundreds of millions
of dollars of annual local economic activity and release a new
industry for rural Appalachia. (www.KeyState.net)
Forward-Looking
Statements
Certain statements included in this press release that are not
historical facts are forward-looking statements. Forward-looking
statements generally are accompanied by words such as "believe,"
"may," "will," "estimate," "continue," "anticipate," "intend,"
"expect," "should," "would," "plan," "predict," "potential,"
"seem," "seek," "future," "outlook," and similar expressions that
predict or indicate future events or trends or that are not
statements of historical matters. These forward-looking statements
include, but are not limited to, statements regarding the
anticipated benefits of the announced collaboration between the
parties; the ability to secure hydrogen to support the adoption of
zero-emission trucks; the ability to unlock new customer demand and
enable investment in hydrogen refueling infrastructure in the
Mid-Atlantic region; assistance in developing Nikola's refueling
network; maximizing benefits under the IRA; the ability of the
model to be replicable for lost cost hydrogen production; and the
potential economic and job creating impact. These statements are
based on various assumptions, whether or not identified in this
press release, and on the current expectations of Nikola's
management. We cannot assure you that forward-looking statements
will be achieved and forward-looking statements are not predictions
of actual performance. Forward-looking statements are subject to
risks and uncertainties that could cause actual results to differ
materially from the forward-looking statements, including but not
limited to, the failure to realize the anticipated benefits of the
planned collaboration between the parties; design and manufacturing
changes, challenges and delays; economic, financial, legal, supply
chain, regulatory, political and business conditions and changes in
domestic and foreign markets; the potential challenges arising from
COVID-19; the outcome of legal, regulatory and judicial proceedings
to which Nikola is, or may become a party; demand for and customer
acceptance of Nikola's trucks; risks associated with development
and testing of fuel cell power modules and hydrogen storage
systems; risks related to the rollout of Nikola's business and the
timing of expected business milestones, including delivery of
trucks for sale; the effects of competition on Nikola's future
business; the availability of capital; risks associated with
changes in accounting treatment or accounting standards; and the
other risks detailed from time to time in Nikola's reports filed
with the Securities and Exchange Commission, including its
quarterly report on Form 10-Q for the quarter ended June 30, 2022 and other documents Nikola files
with the SEC. If any of these risks materialize or our assumptions
prove incorrect, actual results could differ materially from the
results implied by these forward-looking statements. These
forward-looking statements speak only as of the date hereof and
Nikola specifically disclaims any obligation to update these
forward-looking statements.
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SOURCE Nikola Corporation