An industrial facility in Kamloops, British Columbia is preparing for a major energy upgrade as plans advance for on-site green hydrogen production. The initiative is designed to lower fossil-fuel use, improve energy efficiency, and position the pulp mill as an early adopter of emerging clean-energy technologies. For the region’s forestry sector, the project marks a significant shift toward low-carbon industrial operations.
How Green Hydrogen Fits Into Pulp Mill Energy Needs
Pulp mills rely on consistent, high-temperature energy for processes such as wood-chip digestion, chemical recovery, and lime-kiln heating. At the Kamloops facility, the lime kiln is one of the largest natural-gas consumers on site. By generating green hydrogen through electrolysis, the mill aims to replace a portion of this fossil-fuel demand with a cleaner alternative capable of meeting the same thermal requirements.
Readers interested in similar energy-transition topics may also find value in The Working Forest’s overview of hydrogen production from forestry byproducts.
The proposed system would install a dedicated electrolysis plant that splits water into hydrogen and oxygen using electricity. Once operational, the facility would produce several tonnes of hydrogen per day, allowing the mill to displace a measurable share of its natural-gas consumption.
How the Green Hydrogen System Works
Green hydrogen is produced by powering an electrolyzer with electricity from renewable or low-carbon sources. The process generates hydrogen for energy and oxygen as a secondary output, both without producing greenhouse-gas emissions. For the mill, this offers two potential advantages: reducing natural-gas use and capturing oxygen for internal process optimization.
Although electrolyzers have been used in other industries, integrating them into pulp-mill operations is still relatively uncommon. As a result, this project represents a first step toward applying hydrogen technology within a traditionally energy-intensive sector. For broader context on pulp-mill modernization, see this overview of a forestry-sector biofuel initiative, from WorkingForest.com.
Anticipated Benefits for the Facility and Region
Introducing green hydrogen aligns with several long-term objectives the mill has been pursuing related to efficiency, emissions reduction, and modernization. Expected benefits include:
- Meaningful reductions in natural-gas consumption, especially in the lime-kiln system.
- Annual greenhouse-gas reductions projected in the several-thousand-tonne range.
- Improved circular use of oxygen by-products within the mill.
- Greater operational resilience through diversified energy inputs.
- A platform for training and innovation as hydrogen technology becomes more common in industry.
Green hydrogen is produced using electricity from renewable or low-carbon sources. Unlike conventional hydrogen made from natural gas, it generates no carbon emissions during production. When burned, hydrogen releases only water vapour, making it a suitable fuel for industrial sectors trying to reduce their environmental footprint.
Development Progress and Early Engineering Work
The project partners have completed preliminary studies and moved into detailed engineering and design, commonly referred to as the FEED phase. This stage assesses grid integration, safety requirements, equipment selection, and cost models for the proposed green hydrogen facility.
An additional insight into forest-sector decarbonization efforts is available in this Working Forest analysis.
Alongside technical development, the team is evaluating long-term hydrogen use commitments, known as offtake agreements. These agreements help ensure that once hydrogen is produced on site, consistent demand is available to support stable operations and economic viability.
Key Challenges on the Path to Deployment
While the concept is promising, several practical considerations must be addressed before a final investment decision is made:
Power availability: Electrolyzers require large amounts of electricity. Securing reliable, competitively priced power is essential for cost control.
Safety and training: Hydrogen storage and transport involve strict safety protocols, requiring new procedures and staff training. For a neutral overview of hydrogen-safety standards, readers can refer to the International Energy Agency’s hydrogen safety primer at IEA’s hydrogen report.
Infrastructure compatibility: Existing mill systems must be reviewed to ensure seamless integration with hydrogen combustion technologies.
Economic factors: As with many industrial clean-energy projects, upfront capital costs are significant. Financial modelling remains a major component of ongoing planning.
The Role of Green Hydrogen in the Pulp and Paper Sector
Forestry operations across North America are exploring pathways to reduce emissions and modernize equipment. Heat-intensive processes, such as lime-kiln operations, are particularly difficult to decarbonize. Green hydrogen offers a practical alternative for mills that cannot fully electrify due to thermal requirements.
For related perspectives on decarbonizing northern resource operations, Working Forest readers may be interested in this feature on low-carbon strategies.
If the Kamloops project proceeds, it may serve as a reference point for similar facilities evaluating low-carbon energy systems. Its progress is being closely watched by stakeholders across the pulp-and-paper, clean-energy, and industrial-engineering sectors.
Looking Ahead
The Kamloops green hydrogen initiative reflects a broader industrial shift toward cleaner and more flexible energy strategies. With engineering studies underway and partners aligned around a shared objective, the project is positioned for potential advancement once final evaluations are completed.
While timelines are still being refined, the project underscores a growing interest in green hydrogen as a viable tool for industrial decarbonization — particularly for sectors like pulp and paper where thermal energy demands remain high.