CHARBONE and Vema Hydrogen Partner to Develop Quebec Hydrogen Supply Chain
CHARBONE and Vema Hydrogen have signed a conditional offtake and infrastructure development agreement to build a scalable hydrogen supply chain in Quebec, aiming to meet industrial gas demand and reduce transport costs.
CHARBONE CORPORATION (TSXV: CH; OTCQB: CHHYF; FSE: K47), a vertically integrated industrial gases company, has announced a Conditional Offtake and Infrastructure Development Agreement with Vema Hydrogen to develop a new hydrogen production and processing project in Quebec. The partnership aims to create a "well-to-market" supply chain for clean hydrogen, leveraging Quebec's position as a regional hydrogen hub and its concentrated industrial demand near key transportation networks.
Under the agreement, Vema will supply Engineered Mineral Hydrogen (EMH) feedstock, which CHARBONE will purify, compress, and distribute to serve growing demand from its merchant industrial gas customers, up to 15 tons per day. The project is designed to minimize long-distance fuel transport and reduce overall system costs, making it a highly efficient geography for hydrogen production and distribution. Additionally, the project allows Vema to expand into emerging markets such as low-carbon maritime and aviation fuel manufacturing, e-fuels, and power generation.
"The market is demanding high-value industrial gases and our customers need cleaner, more reliable supply. By pairing Vema's EMH feedstock with our purification and distribution capabilities, we're strengthening Quebec's position as a regional hub for next-generation hydrogen," said Dave Gagnon, President and CEO of CHARBONE.
The agreement follows Vema's completion of drilling and initiation of pilot operations in Quebec, marking a milestone in its commercial progress. It broadens Vema's offtake pipeline into industrial gas distribution, e-fuels, and clean mobility. "Across high-value markets - from aviation and maritime fuels to industrial gases, there is incredible demand for Vema's low-carbon Engineered Mineral Hydrogen. Now, more than ever, we need a pathway to deliver these low-carbon fuels," said Pierre Levin, CEO of Vema. "As a valued offtaker and partner, CHARBONE's established logistics networks provide the infrastructure and pathway to meet the immediate market demand for industrial customers across North America."
CHARBONE serves customers across sectors including semiconductors, artificial intelligence and data centers, advanced pharmaceuticals, and aerospace and defense technologies, where ultra-high purity (UHP) gases are critical. The company is advancing a network of clean UHP hydrogen production plants across North America and select international markets. Its modular, decentralized approach, combined with integrated storage and distribution, supports scalable growth and stable revenue generation. For more information, visit www.charbone.com.
Vema Hydrogen produces low-carbon hydrogen using Engineered Mineral Hydrogen technology, which harnesses naturally occurring chemical reactions below the Earth's surface to produce high-purity hydrogen. The company aims to make clean hydrogen a viable solution for large-scale industrial energy and baseload power needs. Learn more at https://www.vema.earth/.
This announcement underscores the growing importance of regional hydrogen hubs in reducing transport costs and meeting industrial demand for clean gases. By combining Vema's production technology with CHARBONE's distribution network, the partnership could serve as a model for scalable hydrogen supply chains in other fast-growing energy markets.