A green hydrogen project located on South Australia’s Eyre Peninsula has commenced its critical Front-end Engineering and Design (FEED) phase, ensuring the project remains one of the most advanced green ammonia projects in the world.
The Eyre Peninsula Gateway Hydrogen Project is being developed by Hydrogen Utility Pty Ltd (H2U). The $240 million project was launched in 2020 with a goal of installing 75 megawatts of electrolysers in the renewable energy-rich Upper Spencer Gulf, capable of producing enough hydrogen to create 40,000 tonnes of green ammonia each year, powered by renewable energy sources including wind and solar.
It is the first green ammonia project of its scale to progress to engineering design globally, firmly placing it at the forefront of the emerging hydrogen industry.
The project received financial support under the South Australian Government’s Renewable Technology Fund, with a $4.7 million grant and a $7.5 million loan announced in February 2018. The Government has also brought forward $2.15 million in grant funding to accelerate the project’s design phase. Mitsubishi Heavy Industries has also invested in H2U to progress the project, supplying key technologies along with ammonia technology providers who are partnering with H2U
H2U has appointed global engineering firm Worley as the contractor to carry out the FEED study.
Minister for Energy and Mining, Dan van Holst Pellekaan, said the project continues to set the bar for emerging hydrogen projects across the globe.
“We will be investing $37 million to improve and upgrade the nearby Port Bonython jetty, helping unlock significant investment and export opportunities for South Australia in the rapidly emerging green hydrogen export industry,” he said.
“Creating ecologically-responsible and sustainable green energy in South Australian provides for a stronger, more reliable local network as well as creating exciting business opportunities for investors.”
“We grabbed the world’s attention with our vision to become a 100 per cent net-renewable energy state by 2030 and now, with support from investors from across the globe, including Japan and Germany, that vision is becoming reality.’’
The Eyre Peninsula Gateway Hydrogen Project is planned to commence commercial production of green hydrogen and ammonia towards the end of 2022.
