Hydrogen is widely tipped to power large-scale transport (trucks, trains, planes, and ships) into an emissions-free future – just ask Andrew ‘Twiggy’ Forrest. I think all our investors know we love Twiggy Forest (ASX.FMG) so let’s take a look at his latest investments in Hydrogen and explore which green hydrogen ASX stock to buy?
Forrest’s company Fortescue Metals Group announced back in November that they would aggressively support a zero-emissions energy approach through a new green energy arm, Fortescue Future Industries. The company announced that it would utilize up to 10% of its profits to fund the new green energy hydrogen project. We are bullish on green hydrogen on the ASX!
Green hydrogen gives Australia an opportunity to slash our emissions — and if we get this right, the impact could be nothing short of nation-building, argues business leader Andrew Forrest in the first of his ABC Boyer Lectures.Twiggy Forest ABC Interview
Green Hydrogen ASX:
Let’s take a look at the current scene on the ASX and explore how you can get exposure to the massive boom in hydrogen companies on the Australian Stock Exchange (ASX). The current list of hydrogen companies on the ASX is as below from this list you might be able to prefer to hone in and find out which hydrogen stock to buy:
Hydrogen ASX Based companies:
|COMPANY NAME||TICKER CODE||MARKET CAP|
|GLOBAL ENERGY VENTURES||GEV.ASX||35million|
|PURE HYDROGEN CORP||PH2.ASX||74million|
|FORTESCUE METALS GROUP||FMG.ASX||65B|
|LEIGH CREEK ENERGY||LCK.ASX||160mil|
|HEXAGON ENERGY MATERIALS||HXG.ASX||40million|
|Countrywide Renewable Hydrogen IPO||Coming Soon!||Coming Soon!|
Hydrogen is today enjoying unprecedented momentum. The world should not miss this unique chance to make hydrogen an important part of our clean and secure energy future.Dr Fatih Birol
The hydrogen scene is extremely bullish at the moment. The above stocks reaching and setting new 52-week highs in the current year. It’s interesting to note that it’s not just the upstarts looking to push hydrogen to the world, but there are well-established oil players looking to get involved. Big names like Woodside, BP, Twiggy Forrest, etc are looking to jump on board and make massive investments into a clean energy future.
With such widespread rapid adoption of the green hydrogen movement we can see massive opportunities in the Green Hydrogen ASX equities.
The executive vice president of Woodside for example came out the other day saying We expect to see large-scale hydrogen production around the world by 2030 and we intend to be part of that. (Shaun Gregory, Executive Vice President Sustainability)
Joe Biden Onboard the Hydrogen Sector?
Biden pledged in his clean energy blueprint to create a new office, known as the Advanced Research Projects Agency on Climate, to develop innovative technologies like next-generation electrolyzers to create green hydrogen energy more cheaply than can be done by using shale gas.
Governments such as Japan, America, Europe, and Australia all have a level of support for a Hydrogen Future. The Australian Government has an ambitious 2030 vision to be a major player in the hydrogen space through their National Hydrogen Strategy. One lesson we have typically learned here at Prophet is that we should almost never bet against the government!
Future Hydrogen Demand
Supplying hydrogen to industrial users is now a major business around the world. Demand for hydrogen, which has grown more than threefold since 1975, continues to rise – almost entirely supplied from fossil fuels, with 6% of global natural gas and 2% of global coal going to hydrogen production.
The current policy support seems to be spearheaded by the transport sector. This is everything from passenger cars to public transportation. This is typically due to a hydrogen fuel cell being able to store more energy than the current batteries that are included in EV vehicles.
How is Green Hydrogen Produced?
Green hydrogen is produced using renewable energy and electrolysis to split water and is distinct from grey hydrogen, which is produced from methane and releases greenhouse gases into the atmosphere, and blue hydrogen, which captures those emissions and stores them underground to prevent them from causing climate change.
Prophets Take On the Hydrogen Sector
Prophet is bullish on clean energy going into the future. The earth cannot simply go on in its current form using non-renewable forms of energy. We will see a massive shift over the next decade to green energy sources and we strongly believe that hydrogen will form a large part of a green energy future.
Here at Prophet Invest we live by the saying:
Few Bets, Infrequent Bets, Massive Bets in the Stockmarket.
We only invest where we see massive upside with very little downside and then we back the truck up and make a massive bet. In the midst of the COVID Recession, we took a massive bet, and it paid off massively.
Once again we will be taking a massive bet on Green hydrogen, once the timing is right. We’ll keep you posted
Also, if you are just getting started and need to join an online brokerage platform check out the below:
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What Are We Currently Buying?
In the past few weeks here’s some exciting companies we jumped in on: