Overview
Elixir Vitality (ASX:EXR) is a gasoline exploration and growth firm at present targeted on its portfolio of pure gasoline and hydrogen property in Mongolia and in Queensland, Australia. As an early mover in Mongolia, Elixir Vitality is the primary firm ever to movement gasoline within the nation.
The clear hydrogen market is quickly rising and is anticipated to change into an ever-expanding a part of the worldwide vitality combine by 2030. This projection units the stage for Elixir Vitality to achieve manufacturing from its in-development Gobi H2 hydrogen mission in Mongolia and have an early mover benefit in a sector that’s attracting international consideration from the world’s largest firms.
Elixir Vitality just lately started creating the Gobi H2 inexperienced hydrogen mission in Mongolia. The mission has distinctive renewable useful resource inputs and the potential to change into a world-class hydrogen asset. The corporate has a maturing 50/50 partnership with Japan’s Terras Vitality on this mission which earlier this yr moved to the purpose of Time period Sheet execution.
There are two compelling benefits to creating hydrogen property in Mongolia: entry to very prime quality renewable vitality and proximity to the rising hydrogen market in China – more likely to be the world’s largest. As well as, Elixir Vitality has the long-term potential to ship hydrogen to China by pipeline slightly than by boat, a big value benefit as growth progresses.
Along with the Gobi H2 hydrogen mission, Elixir Vitality’s Nomgon coal-bed methane (CBM) mission can also be positioned in Mongolia.
The Nomgon CBM mission is within the South Gobi area of Mongolia and on the Chinese language/Mongolian border. The perfect location of the asset offers entry to glorious infrastructure, together with deliberate pipelines and native mines as prospects. The Nomgon mission features a CBM pilot manufacturing plant, which earlier this yr handed an essential milestone of 200,000 commonplace cubic ft per day (SCFPD)
Latest flare on the Nomgon plant.
In Queensland, Elixir Vitality acquired the Grandis Fuel mission final yr and is at present transferring in direction of drilling the Daydream-2 appraisal nicely in October 2023, that can search to materially improve contingent sources, presumably e book preliminary reserves and ensure liquids content material.
The corporate is led by a workforce of managers with direct expertise in Australia and Mongolia and experience within the pure sources business, group engagement and dealing with authorities stakeholders.
The Gobi H2 mission goals to capitalize on rising alternatives within the clear hydrogen market. The mission is ideally positioned for cost-effective transportation, and the corporate is aiming to enter into FEED for an preliminary pilot plant.
Mission Highlights:
- Pre-feasibility Examine (PFS): Elixir Vitality has procured a PFS to assist the event of a pilot plant because the mission takes steps ahead to achieve full manufacturing.
- Partnership with Terras Vitality (renamed from SB Vitality following its acquisition by Toyota Tsusho): The corporate just lately signed a Time period Sheet with SB Vitality to discover and develop the asset mutually. Terras Vitality is already working a world-class wind farm within the area and can lend its experience to Elixir’s future plans for the asset.
- Very best Hydrogen Supply Value: A major benefit of the mission is the potential for a lot decrease supply prices as soon as manufacturing begins. The mission would facilitate supply by pipeline, permitting the corporate to move hydrogen by land, slightly than sea, creating important value financial savings.
Elixir Vitality’s 100-percent-owned coal-bed methane (CBM) mission is ideally positioned within the South Gobi area of Mongolia. This location offers the asset entry to strong native infrastructure and shut entry to Chinese language vitality markets – the world’s largest.
Mission Highlights:
- CBM Pilot Mission In Manufacturing: The pilot plant has handed a key manufacturing milestone of 200,000 sq. cubic ft per day earlier this yr. Water manufacturing has additionally remained steady at ~150 barrels per day. Each of those outcomes are promising because the asset continues to maneuver ahead – with one other pilot nicely at present being added to the Mission.
- 2023 Drilling Program Underway: Exploration started in 2019, and the primary CBM discovery was made in 2020. The 2023 drilling program is at present underway.
- District-scale Asset: The Nomgon mission covers a big 30,000 sq. kilometers in Mongolia. Preliminary exploration campaigns have been promising and point out the potential for the asset to change into a big producer of regional vitality markets.
The corporate’s asset in Queensland, Australia, covers roughly 1,000 sq. kilometers in a longtime oil and gasoline province. The mission is well-suited for cost-effective transportation to home and worldwide oil markets.
Mission Highlights:
- Robust Native Infrastructure: The area’s lengthy historical past of oil and gasoline manufacturing has resulted in a strong infrastructure, together with transportation and energy entry – and group assist for the business.
- Adjoining to Present and Proposed Pipelines: The asset is positioned near present – and proposed gasoline pipelines to help in environment friendly and low-cost transportation as manufacturing commences.
- Effectively Planning Underway: Elixir Vitality is at present working in direction of spudding the Daydream-2 appraisal nicely in October this yr.
Administration Crew
Richard Cottee – Non-executive Chairman
Richard Cottee was appointed because the non-executive chairman of the corporate on April 29, 2019. Cottee was the managing director of coal-seam-gas(CSG)-focused Queensland Fuel Firm (QGC) throughout its progress from a $20-million market capitalization junior explorer by to its acquisition by BG Group for $5.7 billion. QGC’s CSG property are actually operated by Shell and produce gasoline that’s bought to China and different LNG markets.
Initially a lawyer, Cottee has spent the overwhelming majority of his profession in senior government roles within the vitality business, together with as CEO at CS Vitality, NRG Europe, Central Petroleum and Nexus Vitality. A 32-year veteran of the business, Cottee is a powerful enterprise growth skilled and a graduate of The College of Queensland.
Neil Younger – Managing Director and Chief Govt Officer
Neil Younger was appointed to the board of Elixir on December 14, 2018, as its chief government officer. Younger has greater than 20 years of expertise in senior administration positions within the upstream and downstream elements of the vitality sector, specializing in enterprise growth, new ventures, gasoline advertising and common industrial capabilities. He has labored for a variety of firms within the UK and Australia, together with EY, Tarong Vitality and Santos. Younger based Golden Horde Ltd in 2011 with a view to exploring gasoline on the Chinese language border in Mongolia. He has additionally developed numerous new ventures in different nations together with Kazakhstan, Japan and the USA. Younger has an M.A. (Hons) joint diploma in economics/politics from the College of Edinburgh.
Stephen Kelemen – Non-executive Director
Stephen Kelemen was appointed because the non-executive director of the corporate on Could 6, 2019. Kelemen led Santos’ coal seam gasoline (CSG) workforce from its inception in 2004 and drove the expansion on this space that allowed Santos to change into considered one of Australia’s main CSG firms. An engineering graduate from Adelaide College, Kelemen served Santos for 38 years in a number of technical and management roles.
Kelemen is at present an adjunct professor on the College of Queensland’s Centre for Coal Seam Fuel and in addition acts as a non-executive director on the boards of Galilee Vitality (ASX:GLL) and Creation Vitality Ltd.
Anna Sloboda – Non-executive Director
Anna Sloboda was appointed because the non-executive director of the corporate on October 1, 2020. Sloboda is a joint Belarusian/Australian citizen and has greater than 20 years of expertise in company finance, and in creating junior useful resource firms working around the globe.
Sloboda is at present an government director of Pink Citadel Sources Pty Ltd, a privately owned mineral sources exploration firm with a variety of initiatives in Africa and South America. She additionally serves as an advisory committee member, maritime archaeology, on the Western Australian Museum.
Beforehand she was a co-founder of Trans-Tasman Sources and in that capability had substantial expertise in coping with Chinese language off-takers and companions. Different prior employers embrace Lehman Brothers, Clough and Curtin College.
Sloboda has a Grasp of Economics from Belarusian College and an government MBA from Melbourne Enterprise Faculty.
Victoria Allinson – Firm Secretary and Chief Monetary Officer
Victoria Allinson is a fellow of The Affiliation of Licensed Chartered Accountants, a fellow of the Governance Institute of Australia and an NSX-nominated advisor. She has greater than 30 years of accounting and auditing expertise, together with senior accounting positions in quite a few listed firms and was an audit supervisor for Deloitte Touche Tohmatsu. Allinson has gained skilled expertise whereas dwelling and dealing in each Australia and the UK.
Her earlier expertise has included being firm secretary and CFO for quite a few listed firms, together with ASX-listed: Kiland, Security Medical Merchandise, Marmota Restricted, Centrex Metals, Adelaide Vitality, Enterprise Vitality NL, and Island Sky Australia in addition to quite a few unlisted firms.
