John Risley’s World Energy GH2 has won the long sought-after environmental approval it needs to move ahead with a massive, 328-turbine wind energy and hydrogen production facility near St. George’s Bay, Newfoundland and Labrador.

The Newfoundland and Labrador government on Tuesday gave its approval for GH2’s Project Nujio’qonik. Last fall, the province had delayed granting its sign-off, instead requesting more information about the hydrogen plant’s anticipated water use, among other topics.

World Energy GH2, of which Risley is Chairman, plans for Project Nujio’qonik to eventually generate about four gigawatts of electricity, which it will use to produce hydrogen for export to Germany as an alternative to Russian gas and later a potential means of greening carbon-intensive transportation businesses, including air travel.

“Industry at home and around the world has been closely watching this decision,” said Risley in a statement. “Following a thorough, highly regulated environmental review process, this decision demonstrates that the province is committed to climate action.

“The province recognizes and understands the competitive pressures created by the green hydrogen subsidies embedded in the US Inflation Reduction Act and the rapidly emerging global demand for green fuels. They are doing the right thing for Newfoundlanders and Labradorians, and for Canadians.”

World Energy hired Halifax-based engineering consultancy Stantec to lead the regulatory bid, and the Qalipu First Nation conducted a Traditional Land and Resource Use Study, based on the community’s historical knowledge of the local ecosystem.

The Qalipu First Nation is also one of two main project partners, along with the Town of Stephenville, where Project Nujio’qonik is based. While the Qalipu First Nation does not manage a physical territory, it has about 23,000 members across Newfoundland and Labrador, and Nujio’qonik is the Mi'kmaq name for St. George’s Bay.

“Our next steps are to update our plans, as may be required, to meet specific conditions outlined by the province, and to finalize the initial permits required to begin early works construction,” said CEO Sean Leet.

“In parallel with our early works activities, we will continue to progress FEED (front-end engineering design) activities, confirm orders for additional long-lead items, and advance and execute offtake agreements as we work toward a final investment decision in early 2025.”

Construction will be funded partly with the help of a $128 million credit agreement with Export Development Canada that World Energy announced in February. About 2,600 people will work on the project directly while it is being built.