Montem Resources (MR1) - Green Hydro Project Gets Alberta Support

Interview with Peter Doyle, MD & CEO of Montem Resources (ASX:MR1)

Our previous interview:    • Montem Resources (MR1) - Green Hydrog...  

Montem Resources Ltd. is an ASX-listed steelmaking coal and renewable energy development company focused on the advancement of its projects located in the Crowsnest Pass in Alberta Canada.

The government of Alberta in 2021, reinstated its 1976 Coal policy including the 4 coal categories. The legislation provides restrictions to coal leasing, exploration and development based on the categorisation of the operation. Montem Resources Ltd. at this time was advancing its Tent Mountain Coal project towards restart. The large coal project of Hancock Resources in the proximity of the Tent Mountain project was denied its licencing at which point Montem Resources Ltd. decided to re-evaluate its project believing that the risk its investors would incur became too high.

The company in July 2022 published a pre-feasibility study of a Pumped Hydro Energy Storage element as well as a business case analysis for the green hydrogen electrolyser element of its envisioned Tent Mountain Renewable Energy Complex. The studies form part of the initial investigations into the potential transition of the Tent Mountain Mine into a renewable energy complex.

The pre-feasibility study shows a project life of more than 80 years, with an installed capacity of 3290 MW and 2,560 MWh storage capacity which will allow for 8 hours of continuous generation. The pre-feasibility study further recommends optimisation work to be completed regarding the increase of the pumped hydro energy storage system. The increase in storage may offer double the energy storage for a low capital cost. The company has also entered into a framework agreement with the Piikani Nation for the cooperation in the review of the development concept of the pumped hydro energy storage system.

0:00 - Company Overview
0:43 - Company Updates
2:39 - Transition from Being a Coal Company to Building Renewable Energy Complexes
4:37 - Overview of the Next Phase of the Renewable Energy Complex
5:46 - Source of Funding for the Renewable Energy Complex
6:56 - Participation of the Prospect Strategic Partner
7:29 - Avoiding Shareholder Dilution
8:10 - Possibility of Canadian Federal Government Grant Funding
11:21 - Raising Money from the Government
12:52 - Possibility of Other Hydro Power Projects in Alberta
14:03 - Explaining the Demand in Alberta
17:47 - Derisking the Company
18:21 - Financing the Derisking Process
21:25 - Overview of the Volatility of Coal Prices
22:46 - Sustainability of Metallurgical Coal Prices
23:34 - Possibility of Going Back to Coal Operations
25:00 - Projected Numbers on the Renewable Energy Complex
26:15 - What to Expect for the Next Six Months
28:49 - Explaining “Green Hydrogen” Production
31:51 - Hope for the Coal Project in Alberta
35:53 - Proving the Feasibility of the Renewable Energy Complex
39:25 - Outro

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