Element One Hydrogen and Critical Minerals Corp. has signed a letter of intent with Stone to H2, Inc., targeting the progressive acquisition of a subsurface hydrogen and critical mineral extraction technology. The process involves fluid injection into ultramafic rocks to recover strategic elements through solution mining.
A three-year staged acquisition process
The agreement outlines Element One’s capital increase in Stone to H2 over three years through an earn-in structure. The first stage includes issuing 1 million shares and funding $500,000 to acquire a 10% interest. In the second year, Element One will issue an additional 2 million shares and invest $1 million to reach 30%. By the end of the third year, Element One plans to issue 3 million additional shares and provide $2 million in funding to reach 60% ownership.
Exclusive access to technology and potential full control
The agreement grants Element One an exclusive license to Stone to H2’s technology throughout the earn-in period. Upon reaching defined technical milestones, Element One may increase its stake to 100% by committing up to an additional $6mn in cash or equity and $10mn in field trial funding. Any intellectual property developments during this phase will be co-owned based on each party’s equity share.
Geological hydrogen and co-production of strategic metals
The proprietary method targets naturally occurring hydrogen generated from ultramafic rock alteration and the concurrent recovery of critical minerals from these formations. The related patents also include provisions for carbon dioxide sequestration within the same geological structures.
Strategic positioning in the emerging geological hydrogen sector
This agreement is part of Element One’s broader strategy to integrate low-cost solutions for hydrogen and critical mineral production. The transaction was conducted independently between the two companies and does not include any finder’s fees.
