Pure Hydrogen leases hydrogen fuel cell vehicle to the City of Newcastle

Pure Hydrogen (ASX: PH2) has executed a term sheet with the City of Newcastle, NSW, for the lease of a rear-loading hydrogen fuel cell (HFC) waste collection vehicle.

The waste collection vehicle will be supplied by Hdrive International, a subsidiary of Pure Hydrogen, with the body of the vehicle to be supplied and fitted by the Australian division of global equipment provider Bucher Municipal.

The truck will run on green hydrogen, a zero-carbon energy source produced by electrolysis using water and renewable energy.

As part of its commitment to achieve net zero emissions from vehicles and equipment, the City of Newcastle is undertaking a 12-month trial with the option for a four-year extension.

Over the coming four years, the City of Newcastle is expected to replace a significant number of its existing diesel-powered trucks

City of Newcastle Lord Mayor Nuatali Nelmes says the trial aligns with its environmental strategy.

“We’re seeing zero-emissions vehicles emerge as a marker of the best-run cities in the world and this trial is a step forward that Newcastle can and should be proud of,” she said.

“We’re committed to delivering a 100% reduction in carbon emissions from City of Newcastle vehicles during the next decade and we’ll continue driving toward this goal by trialling new technologies that contribute to this transition.”

Pure Hydrogen will receive a refundable deposit of $73,739 and rental payment in the first 12 months of around $270k, including GST. The company will also charge separately for the hydrogen used.

In addition to its fleet of HFC waste collection vehicles, Pure Hydrogen is also growing its pipeline of trials and purchase orders across its hydrogen vehicle fleet, including the Taurus Prime Mover.

Pure Hydrogen managing director Scott Brown commented on the trial.

“We are pleased to announce the latest hydrogen truck leasing agreement and we commend the City of Newcastle for taking this step,” he said.

“As we continue to successfully execute our hydrogen vehicle strategy, Pure Hydrogen is on track to deliver a significant number of vehicles in FY25 and we look forward to providing more updates in the second half of CY2024.”