2021-07-09 by Proactive Australia
High Peak Royalties Ltd (ASX:HPR) has expanded its diverse royalty portfolio by entering a Memorandum of Understanding (MOU) for investment and royalty rights with ScimTek Hydrogen Ltd.
The agreement is intended to be legally binding and provides certain rights to High Peak in exchange for a purchase price of $300,000, which includes a 1% royalty on the sales of ScimTek Hydrogen products capped at $30 million.
This is a key move by High Peak in advancing its environmental, social and governance (ESG) by purchasing a royalty in emerging green hydrogen technology.
Notably, the company s acquisition of the green hydrogen project royalty expands and diversifies the existing royalty portfolio whilst being consistent with its business strategy of acquiring royalties over quality energy projects.