Provaris Energy has made significant strides in hydrogen and liquid carbon dioxide storage technologies, reinforcing key partnerships and securing funding to meet critical 2026 milestones.
- Strengthened strategic partnership with 'K' Line for hydrogen shipping readiness
- Resumed fabrication of hydrogen prototype tank at Norway’s Robotics Innovation Centre
- Advanced FEED Stage 1 for 25,000 cbm low-pressure LCO2 tank with Yinson
- Extended collaboration agreements supporting Nordic hydrogen export projects
- Completed $500,000 equity raising and maintained $3 million convertible bond facility
Hydrogen Shipping Partnership Deepens
Provaris Energy Ltd (ASX, PV1) has reported notable progress in its development of compressed hydrogen and liquid carbon dioxide (LCO2) storage and transport solutions during the December 2025 quarter. Central to this progress is the deepening of its strategic partnership with Japanese shipping giant “K” Line. A delegation of executives from “K” Line visited Norway to engage with Provaris’ technical teams and inspect the Robotics Innovation Centre and the hydrogen prototype tank under fabrication.
This collaboration is focused on refining the commercial and technical readiness of Provaris’ proprietary H2Neo carriers, with joint efforts on time charter economics, financing, and ownership structures. These steps are critical as the partners prepare for hydrogen shipping operations scheduled for 2026, aligning with “K” Line’s broader strategy to expand into new energy markets.
Advancements in Prototype Fabrication and Testing
Provaris has resumed fabrication of its hydrogen prototype tank at its Norwegian Robotics Innovation Centre, marking a transition from development to demonstration. The robotic fabrication facility enables precision manufacturing of large, layered steel tanks, a proprietary technology that underpins both hydrogen and LCO2 storage solutions. Testing plans are underway to meet marine classification requirements, with key stakeholders such as DNV and ABS scheduled to observe fabrication and testing phases over the coming quarters.
Progress on LCO2 Tank Development with Yinson
On the carbon capture front, Provaris has made material progress on the Front-End Engineering Design (FEED) Stage 1 for a 25,000 cubic metre low-pressure LCO2 tank, designed for integration with Yinson’s Floating Storage and Injection Unit (FSIU) supporting the Havstjerne CCS project in Norway. Stage 1 deliverables were submitted in December 2025, with Stage 2 scheduled for mid-2026, including ongoing consultation with marine classification society DNV to secure necessary approvals aligned with Yinson’s final investment decision timeline.
Provaris and Yinson are also advancing joint venture structuring to commercialise the LCO2 tank technology, with Provaris retaining a 50% stake. Early engagement with Asian fabrication yards is underway to assess scalable manufacturing options, cost efficiencies, and delivery timelines, critical factors for industrialising the tank designs.
Strengthening Nordic Hydrogen Export Frameworks
Provaris extended its collaboration agreement with Norwegian Hydrogen AS to support the FjordH2 project, aimed at producing and exporting compressed hydrogen. The company also renewed a term sheet with Uniper Global Commodities and Norwegian Hydrogen AS to progress conditional offtake arrangements. Discussions with German and Northern European stakeholders continue to advance commercial frameworks for hydrogen export and import, leveraging Provaris’ H2Neo carriers.
Despite broader market caution and delays in large-scale hydrogen project final investment decisions, Provaris remains confident its Nordic export model; emphasising efficiency, flexibility, and near-term execution; aligns with evolving energy import strategies in Europe.
Financial Position and Funding Outlook
Financially, Provaris completed a $500,000 equity raising during the quarter, with significant participation from its Board, and maintains a $3 million convertible bond facility with $2.5 million undrawn. The company reported net cash outflows from operating activities consistent with budget expectations and holds cash and available financing sufficient to fund operations for over six quarters at current burn rates.
Looking ahead, Provaris is focused on converting its technical leadership into commercial execution, with key milestones in 2026 expected to unlock shareholder value and cement its role in next-generation maritime gas carrier solutions.
Bottom Line?
As Provaris moves into 2026, the race to commercialise hydrogen and carbon capture shipping technologies intensifies, with strategic partnerships and regulatory approvals set to define its trajectory.
Questions in the middle?
- When will Provaris secure final Class Approvals for its H2Neo and LCO2 tanks?
- How will the joint venture with Yinson shape Provaris’ commercialisation and revenue streams?
- What impact will evolving European hydrogen import infrastructure have on Provaris’ market positioning?