JEV:CC - Jericho Energy Proposed Spin-off Opens its Hydrogen Division to $30 Trillion ESG market
(TheNewswire)
April 24, 2024 – The Newswire – Global Stocks News– In a press release dated April 17, 2024, Jericho Energy Ventures(TSXV:JEV) (OTC PINK:JROOF) (FSE:JLM) announced that it is exploring a potential spin-off andseparate listing of its Hydrogen platform .
Currently, Jericho owns and operates producing oil andgas projects in Oklahoma, USA, which – although a source of revenue– dilutes the company’s green energy credentials.
As a growing technology innovator, the hydrogenbusiness will likely need access to capital. Decoupling from the oilbusiness will expand the potential sources of funding to include ESGfunds.
“ Global ESGassets are $30 trillion , and on track to surpass$40 trillion by 2030,” confirms a January 2024 ESG report fromBloomberg Intelligence .
“The last three years we have been using profits from the oilbusiness to fund our hydrogen business,” JEV director Allen Wilsontold Guy Bennett, the CEO of Global Stocks News (GSN). “At anaccounting level that makes sense, but many of the funds we’ve beentalking to have mandates that forbid them from investing in fossilfuels.”
“Having an oil division buried in the hydrogen business isconstraining the relationships we can form, and our access tocapital,” continued Allen.
JEV’s Hydrogen Portfolio:
• 100% owned subsidiary Hydrogen Technologies has developed a patented, zero-emission boiler technology to theCommercial & Industrial heat and steam industry.
• Investments and board positions in H2U Technologies - abreakthrough electrocatalyst and low-cost electrolyzerplatform.
• Investments and board positions in Supercritical Solutions -developing the world's first, high pressure,ultra-efficient electrolyzer.
“Our skills, knowledge and experience in traditional energy assetshas served us well,” JEV CEO Brian Williamson told GSN. “But as wemove up the investor chain to institutional investors, these funds arefocused on the transition away from fossil fuels. That is thelargest growing pool of capital in the marketplace.”
“For us to access those pools, our hydrogen assets need to stand ontheir own,” confirmed Williamson. “At the same time, our oil andgas assets are getting lost in the hydrogen story. Sometimesseparation is necessary for the good of the children. We feel we areat that point.”
“The objective of the Proposed Spin-Off is to createtwo independent, streamlined, pure-play companies focused on becomingleaders in their respective markets,” states JEV.
“This initiative intends to create two agile,specialized companies, enabling them to pursue their unique strategicobjectives and position themselves advantageously for sustainedgrowth, profitability, and heightened investor appeal," remarkedWilliamson.
Hydrogen produces zero emissions when burned, making itan attractive option for reducing greenhouse gas emissions. In 2024,95% of hydrogen used is “grey hydrogen” - produced from naturalgas.
“Blue hydrogen” uses carbon capture to reduceemissions up to 90%, but it still relies on fossil fuels as afeedstock.
For hydrogen to break through as major source of cleanindustrial energy, the world needs reliable affordable “greenhydrogen”.
In the video below, Scottish Power explains what green hydrogen is:
“In order to combat climate change, we need to adoptelectrification as a clean and sustainable solution to many of ourtransport and industrial needs,” explains Scottish Power.
“The cleanest form of hydrogen production is producedusing renewable energy resulting in zero co2 emissions. Cleanrenewable electricity is used to power an electrolyser splitting water into hydrogen andoxygen gas with no carbon emissions.”
The push to replace fossil fuels with green hydrogenhas reached all corners of the world.
“Energy storage will play a key role in achievingIndia’s National Green Hydrogen Mission's goal of producing morethan five million metric tonnes per annum by 2030,” reports TVBRICS .
“Over 680 hydrogenprojects have been announcedglobally, worth more than $240 billion in investment,” states the WorldEconomic Forum (WEF) . “We will workwith stakeholders across industry, policy and finance to turnannouncements into action and pledges into real projects.”
Jericho’s hydrogen business started with a focus on the industrialspace, because this is where you find the earlier adopters, with thebiggest carbon footprints.
JEV’s “spearhead” technology is the zero emissionDCC boiler. The company is concurrently developing upstream technologyto help solve the need for more green hydrogen.
“The average life of a boiler is 20 years, while the average age ofthe boilers installed in North America is 30+,” explainedWilliamson. “Emission profiles two decades from now will be verydifferent. Decisions are being made today will affect industrialprocesses in 2040. The time is right for the industrial,decarbonisation, and we believe ourDCC boiler has an important role to play .”
“Jericho's roster of major backers among itsshareholders includes EdwardBreen, Executive Chairman and CEO of DuPont ;Belzberg & Co., led by Strauss Zelnick, chairman and CEO of videogame giant Take-Two Interactive; McKenna & Associates, led byAndrew J. McKenna; the Graves family, a multi-generational U.S energyasset owner and operator; and Frank Drendel, founder and chairmanemeritus of CommScope,” reports StreetwiseReports.
Ed Breen issometimes called “The Breakup King”, having transformed numerouscorporate entities, like Tyco International, and DowDuPont into moreefficient focused companies.
“ Thismodel aligns perfectly with that of Jericho Energy Ventures, a smallcompany that Breen has invested in,” stated AllPennyStocks on the Globe & Mailplatform .
“Breen identifies companies with potential for hiddenvalue trapped within a complex structure. Through divestitures,mergers, or strategic splits, he unlocks this value, allowinginvestors to benefit from the focused potential of the newly formedentities.”
"Should this spin-out come to fruition,”concluded Williamson. “We believe existing JEV shareholders stand tobenefit from the growth prospects of owning both pure-play H2 and Oil& Gas enterprises, with each focused on maximizing value andbecoming a leader within its sector."
Disclaimer: Jericho Energy Ventures paid GSN $1,500 CND for theresearch, writing and dissemination of this content.
Contact: guy.bennett@globalstocksnews.com
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