Green Hydrogen Production at Chute Lake, driven by the Gitga’at First Nation, is a transformative initiative derived from aspiration for community energy independence and sustainability. Chute Lake, located 12 km from Hartley Bay and initially identified as a suitable site for hydroelectric power generation, has since evolved into a hydroelectric-powered green hydrogen production facility that uses electrolysis to produce hydrogen for sale to commercial enterprises along the Douglas Channel. The facility will be located on the shores of the Douglas Channel, in a remote, undeveloped region, offering a unique opportunity for sustainable and low-carbon energy solutions in a part of the world with abundant renewable resources.

The Project not only provides an opportunity for clean energy for the Gitga’at First Nation but regional enterprises operating along the Douglas Channel.

Hydrogen is vital for achieving net-zero emissions and decarbonizing energy systems, but the transition to hydrogen presents challenges, with Chute Lake’s remote location adding unique complexities. GHD’s Feasibility and FEED Study identified and evaluated these challenges. The primary focus of the Project is sustainable resource supply, local employment opportunities, and addressing the logistics of remote operation, all while ensuring the Project’s long-term viability and contribution to a sustainable energy future.

This forward-thinking approach positions the Gitga’at First Nation as a leader in renewable energy, ensuring long-term energy independence, enhancing community resilience through innovation, and driving economic growth, while serving as a model for our many small, northern, remote, or Indigenous communities to embrace low-carbon solutions.

The primary focus of the Feasibility Study was to identify and address the technical challenges of the Project to lay a strong foundation for the FEED Study. To achieve this, GHD evaluated run-of-river and damming scenarios for their impact on hydrogen production. Off-takers were identified to assess their demand, capacity, and hydrogen utilization capabilities to form the operational concept. The team also selected technology and developed a conceptual facility layout to generate an AACE Class 4 cost estimate and a financial model projecting Levelized Cost of Hydrogen (LCOH), Internal Rate of Return (IRR), and Net Present Value (NPV).

The conclusions and recommendations from the Feasibility Study formed the FEED Study objectives and basis of design, which refined the Project’s design, layout, and financial model. The FEED focused on overcoming the challenges of constructing in a remote, steep, rocky, and undeveloped environment. These challenges were successfully addressed in the design and captured in the AACE Class 3 cost estimate and subsequent revision of the Feasibility Study financial model.

The success of the Studies was driven by the strong collaboration between stakeholders, technical experts, local contractors, and the community. This ongoing partnership ensured the project moved forward with collective expertise, a shared vision, and a strong commitment to delivering positive and accurate social, cultural, and economic outcomes for the Gitga’at First Nation.

GHD’s Feasibility and FEED Study comprehensively addressed and evaluated the key challenges of the Project, delivering a detailed FEED-level design and AACE Class 3 cost estimate. The studies provided a clear assessment of the Project’s feasibility, financial viability, and timelines, ensuring a strong foundation for its future success.