Green Markets - August 9, 2024

Aug 09, 2024

Green Markets is a daily series dedicated to highlighting events of interest that could impact investments within environmental markets.

US Strategic Metals has secured a non-binding Letter of Interest from the Export-Import Bank of the United States (EXIM Bank) for up to $400 million in debt funding for its cobalt project in Missouri.

India is developing a new policy framework to implement carbon capture, utilization, and storage (CCUS) technology as part of its strategy to achieve net-zero emissions by 2070. The policy, spearheaded by NITI Aayog and other government bodies, will likely include incentives such as viability gap funding, carbon pricing, and production-linked incentives (PLI) to encourage the adoption of CCUS technology.

Related Stock List(s): Carbon Capture Stocks

China has introduced two new methodologies for its voluntary carbon market (VCM) under the China Certified Emission Reductions (CCER) framework. The proposed project types, which include utilizing coal mine gas and energy-efficient highway tunnel lighting, are currently under consultation by the Ministry of Ecology and Environment.

Related Stock List(s): Carbon Credit Stocks

Air Products and Chemicals has put its South Korean unit, Air Products Korea, up for sale at an estimated price of 5 trillion won ($3.6 billion). The company plans to use the proceeds from the sale to invest in its blue hydrogen business. Potential buyers include POSCO Group and private equity firms such as Hahn & Company and MBK Partners, with the sale expected to conclude by the end of the year.

Related Stock List(s): Hydrogen Stocks

Nicaragua is on track to become the newest LNG player in Central America with New Fortress Energy’s (NFE) LNG project, which is 90% complete and expected to start operations next quarter. The project includes a 300MW power plant and a nearly complete jetty for the floating storage unit vessel. A five-mile pipeline connecting the plant to the jetty is also under construction and set to finish next month. NFE sees the terminal as a significant hub for Central America, with plans to export power to neighboring countries under a 25-year power purchase agreement with local distributors.

Related Stock List(s): LNG Stocks

LS Power has agreed to acquire the renewable energy business of Algonquin Power & Utilities, which includes over 3,000 MW of wind and solar assets and an additional 8,000 MW pipeline of development projects across the U.S. and Canada. The deal is expected to close between Q4 2024 and Q1 2025, pending regulatory approvals.
Iberdrola has raised $525 million through a green bond issuance by its U.S. subsidiary, New York State Electricity and Gas, to support its U.S. network business. The proceeds will contribute to Iberdrola's broader investment strategy, which includes a €41 billion program focused on network and renewable energy growth from 2024 to 2026.
China's Mingyang Smart Energy has reached an agreement with Italian developer Renexia to establish a wind turbine manufacturing facility in Italy. The new factory will produce Mingyang’s 18.8 MW floating wind turbines for a 2.8 GW floating wind project near Sicily. The joint venture is expected to involve an investment of approximately €500 million ($546 million).

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