Vast Renewables Limited (Nasdaq: VSTE) and its consortium partner Mabanaft have taken a significant step forward in the development of their green methanol plant, SM1, by awarding pre-front-end engineering and design (FEED) contracts to international engineering group Fichtner and German e-fuels leader bse Methanol.
This milestone comes after the appointment of Dr Amy Philbrook from Arup as the project manager.
The SM1 plant, part of the Port Augusta Green Energy Hub in South Australia, is designed to produce 7,500 tonnes of green methanol annually.
This renewable fuel has the potential to significantly reduce carbon emissions in the shipping and aviation sectors.
The plant will be powered by Vast’s 30 MW / 240 MWh concentrated solar thermal power (CSP) plant, providing a baseload of clean, renewable heat.
Fichtner’s role in the pre-FEED work will involve integrating several key technologies:
- A Leilac calcination plant from Calix for carbon dioxide capture
- A methanol plant with bse Methanol’s Flex Methanol modules
- An electrolysis plant for hydrogen production
The project has secured substantial funding, including:
- AU$19.48 million from the Australian Renewable Energy Agency (ARENA)
- EUR 12.4 million from Projektträger Jülich (PtJ) on behalf of the German government
Vast and Mabanaft signed a joint development agreement in June 2024 to progress the SM1 project.
Craig Wood, CEO of Vast, emphasised the importance of this milestone, stating that SM1 has the potential to make a significant impact on the hard-to-abate transport sector.
Philipp Kroepels, Director of New Energy at Mabanaft, expressed confidence in the expertise of Fichtner and bse Methanol, highlighting their potential contribution to the project’s success.
Dr. Amy Philbrook from Arup noted the project’s potential to transform the transport sector and deliver Australia’s first solar fuel project.
The awarding of these contracts marks a crucial step in the development of the SM1 green methanol plant.
As the project progresses, it has the potential to catalyse Australia’s green fuels industry and demonstrate the viability of using concentrated solar thermal power in green fuel production.
