Stephane Dallaire has been named CFO of Vema Hydrogen, where he will oversee fundraising and financial operations as the engineered mineral hydrogen developer advances its projects in Quebec.

Dallaire, who spent more than two years in executive roles at Quebec-based green hydrogen and industrial gases company Charbone Corp., has more than 25 years of experience in venture capital, private equity and mergers and acquisitions. 

At Charbone, where he served as CFO and executive vice-president, he played a critical role in having the company listed on the TSX Venture Exchange in 2022.

By joining Vema, Dallaire continues his record of being “in situations where I can outgrow myself” and “accomplish something or make a difference,” he said in an interview with Sustainable Biz Canada.

The Houston-based company is aiming to extract hydrogen gas in Quebec by accelerating a chemical reaction in iron-rich rocks. Then the hydrogen could be used to decarbonize hard-to-abate industries and transportation at a competitive cost.

Dallaire admitted to being unsure about Vema’s premise of “pulling hydrogen out of the ground” when approached to be its CFO. But after talking to the team’s management and investors, Vema’s ambition made more sense, Dallaire said. He described Vema’s process as a "game changer" and the company as a trailblazer in the sector.

Hydrogen is 'the energy of the future': Dallaire

Dallaire’s experience at Charbone was a major reason Vema recruited him. Based in Brossard, Que., the company is developing a network of green hydrogen production facilities and produces gases such as Ultra High Purity hydrogen by splitting water with an electrolyzer. Charbone is a partner of Vema on development of a hydrogen production and processing project in Québec.

When Dallaire joined Charbone, hydrogen was foreign to him. But as he became more familiar with the element, “I understood that hydrogen was actually the energy of the future,” Dallaire said.

Besides Vema’s promise, the company’s team, stocked with specialists who are “top-tier in their own fields,” stood out to Dallaire. He also said he enjoys the experience of building startups and being part of something new.

As CFO of Vema, his priorities are implementing its financial systems and governance, structuring its financing rounds, managing investor relations and dealing with suppliers.

The tasks related to funding and investors are crucial for its projects, Dallaire said, such as its pilot in Thetford Mines, Que. Vema has drilled its first pilot wells there to generate data to refine its models and assess the potential for commercial production.

The pilot could help answer questions about the number of wells required, hydrogen pricing and purity levels, Dallaire said. After completing the pilot, Vema can proceed to test the viability of a pre-commercialization phase, then possibly progress to commercialization, Dallaire added.

Decarbonizing fuels

An example of a potential commercial-level project is Vema’s memorandum of understanding with Montreal-based SAF+ International Group. The companies are examining the potential to produce low-carbon jet fuel in Thetford Mines by co-locating a facility that would combine Vema’s hydrogen with carbon dioxide to produce synthetic kerosene.

Other uses of Vema’s hydrogen could be helping to decarbonize industries like methanol, ammonia and propane, Dallaire said. The potential could even extend to powering data centres, he added.

Quebec is a compelling market for natural hydrogen projects, Dallaire said, pointing to the province’s grid powered almost entirely by hydroelectricity and the governmental and public support for decarbonization.