Updated: Apr 21
David Frances, Managing Director of Province Resources Limited (ASX: PRL) on a De-risked ESG Business in Green Hydrogen
Investors out there, imagine a totally de-risked project.
You don't have to wait for Christmas to ask for that from Santa Claus. Firstly, it is not a myth, it is possible. And it already exists right here.
That is why today's story is one of the most Compelling ASX Stories that Samso has ever had.
And the key elements for that are Green Hydrogen and a De-risked ESG Business.
Noel Ong, CEO of Samso is excited about this story, and rightly so. He has a good feeling about Province Resources Limited (ASX:PRL). They are set to ride an energy wave and they are probably already sprinting ahead.
Noel ponders about what it was like to buy into Woolworths when it listed. He remembers subscribing to the IPO and calling the broker every week asking what it was doing. The company share price started the IPO around the $2.50 mark and it is now at $40 per share, with a market capitalisation of AUD50B.
Now, Woodside is worth AUD21.23B and they are in a sunset industry. Noel still remembers them in the 1990s, the new emerging energy company.
The business of Green Hydrogen has just started and a company like Province Resources with a market capitalisation of approximately AUD150M is actually cheap considering that the likes of Woodside are worth billions.
Hydrogen is Not Hydrogen. The only thing that will kill this industry will be the Government. ESG is here to stay. - David Frances
Province Resources Limited is about a totally de-risked business. While it is pending some direction from the government, it is something to get excited about. Mr. Frances really goes in-depth in this episode and there are definitely lots of noteworthy bits to jot down.
00:00 - Introduction
54:20 - Who Is David Frances?
01:28 - Why have we not heard of the Hydrogen business ?
02:17 - Hydrogen 101
03:59 - Is Hydrogen Hydrogen?
05:59 - How is the journey for the Efficiency of Hydrogen?
07:56 - What will Province produce?
08:49 - Are you specific to a type of Hydrogen?
10:13 - What is the business for Province and how does it work?
11:43 - The Hydrogen Royalty debate
13:23 - Green Tariff will drive the Green Hydrogen business
14:54 - The ESG is pushing this sector.
15:28 - What is the money people are saying about this Green Hydrogen business?
17:17 - The Importance of ESG parameters.
18:21 - The business plan for Province Resources Limited.
19:38 - Why Carnarvon?
20:55 The Total Eren Factor
22:21 Total De-risking
23:59 - Be careful of the use of the word Hydrogen....
24:36 - How Green Hydrogen fairs with Cost vs. Scale of business.
26:18 - Making the entire supply chain Green.
27:56 - The path that needs to be taken.
28:24 - Is the value of the shares over?