Power from the Gobi desert for an Asian supergrid?
This morning we noticed the following video from Bloomberg, which discusses the idea of continental supergrid's to solve future energy crises.
Of particular interest was the commentary in the video around the potential development of a super grid that ties together countries in Asia and how the Gobi desert in Mongolia fits into all of this.
The video provides context for our 2019 energy Pick Of The Year Elixir Energy's (ASX: EXR) regional ambitions.
EXR holds ground in the Gobi desert in Mongolia, where it is preparing to run a long-term production test across its coal bed methane gas project.
Alongside this, the company is also looking to develop wind & solar projects to ultimately power a green hydrogen project.
Ultimately, EXR is looking to develop an energy hub in a strategically important location from both a natural resource perspective and geographic perspective (bordering energy hungry China).
Watch from 10:54 onwards. Alternatively, here are our key takeaways:
- Japan's renewable energy institute has come up with a plan to link up the grids of some of the region's biggest economies. Enter the concept of an 'Asian super grid'.
- Mongolia is at the centre of the grid because it has "the best renewable energy potential in the area, that will benefit all Asian countries".
- The wind and solar energy from Mongolia's Gobi desert (where EXR's projects are located) could potentially produce ~2.6 Terrawatts of electricity, which is more than twice the capacity of the US.
- This power could then be connected to the Asian super grid capable of powering countries that produce more than 1/3rd of the world's carbon emissions with affordable renewable energy.