City Council

CC 23. Clean Hydrogen Purchase Agreement Non-Binding Term Sheet – Element Resources, Inc.\nRecommendation(s):\nIt is recommended that the City Council:\n1. Approve the Non-Binding Term Sheet with Element Resources, Inc. for the purchase of\nhydrogen, with an estimated maximum contract amount of $68,200,000 and a minimum\ncontract amount of $54,135,000 per year. Authorize the City Manager, or his designee, to\nexecute and sign all documents; and\n2. Find that this item is not a project pursuant to the California Environmental Quality Act.\nThis agreement aims to secure a reliable supply of green hydrogen for the City of Lancaster,\nenhancing its clean energy portfolio and supporting its environmental goals. The\ncollaboration with Element Resources is expected to provide substantial benefits in terms of\nsustainability, cost savings, and energy security.