January 09, 2026 [Fuel Cells Works]- World Energy GH2 has shelved its 1.2GW green hydrogen and ammonia project in Stephenville, Newfoundland and Labrador, after failing to lock in any offtake agreements for the clean fuel — a blow to Canada’s once highly touted hydrogen export ambitions.

The now-stalled Project Nujio’qonik was originally pitched as a major transatlantic green hydrogen scheme backed by 2GW of new wind capacity and designed to export to European buyers. Despite initial enthusiasm — including $50m investment from South Korea’s SK Ecoplant and high-profile endorsement by then German chancellor Olaf Scholz — the developer has confirmed the project is being replaced by a new initiative, called Clean Grid Atlantic, which will use the wind resource to power domestic markets instead.

“I think hydrogen will be part of the equation one day, we just don’t know when,” said John Risley, chairman of World Energy GH2.
“It would be wrong to say that hydrogen is never going to be part of the equation.”

In comments to CBC, Risley acknowledged that with no viable export market and a lack of domestic industrial demand, clean hydrogen in Canada remains economically unfeasible in current market conditions. The company will instead focus on power transmission infrastructure to deliver clean electricity from its Stephenville wind development to other parts of eastern Canada.

The new website for World Energy GH2 reflects this pivot — rebranding itself primarily as a renewable energy developer, with hydrogen now positioned as a potential long-term application rather than a lead business model.

The Nujio’qonik project had gained environmental approval and secured 108,000 hectares of Crown land, but had also faced early regulatory issues, including a “deficient” environmental review in late 2023 that delayed progress. Even so, Newfoundland’s provincial government had cleared the project for development in April 2024.

But without committed offtakers, the company could not move forward. World Energy GH2’s shift illustrates the commercial headwinds facing large-scale green hydrogen projects — particularly in the absence of robust policy support or long-term purchase agreements.

The collapse of the project raises questions about the fate of the Canada-Germany Hydrogen Alliance, launched in 2022 to create a transatlantic green hydrogen corridor — which has yet to produce any commercial results.