The Australian Renewable Energy Hub (AREH) has received a AU$21 million grant from the Australian Renewable Energy Agency (ARENA) to further advance a large-scale hydrogen production project for green iron in Western Australia’s Pilbara region.
The funds will support the next detailed phase of technical, economic and regulatory progress for the AREH project.
The studies will focus on green hydrogen production at Boodarie near Port Hedland through collaboration with industrial partners, alongside environmental, water and cultural heritage considerations.
The initiative aims to enhance green iron production in the region by enabling the cost-effective generation of green hydrogen.
Neil Parker, CEO of AREH, said the funding would accelerate the hub’s development.
“This funding allows us to advance the rigorous engineering, design and commercial analysis needed to progress AREH and its ability to supply new industrial clusters in the Pilbara,” Parker said.
“It brings us closer to delivering large‑scale, low‑cost green hydrogen, supporting a Future Made in Australia agenda and positioning the Pilbara as a leading global centre for green iron manufacturing.”
The 26-gigawatt project will be located at a 6,500-square kilometre site near Port Hedland. At full scale, AREH could produce up to 1.6 million tonnes of green hydrogen or nine million tonnes of green ammonia per annum – making it one of the largest green hydrogen projects in the world.
AREH will help power the Pilbara with renewable electricity and green hydrogen, with a final investment decision targeted for 2028 and first power in 2030.
Isaac Hinton, head of Australia at InterContinental Energy, said the project can help transform the Pilbara by evolving the region from exporting iron ore to producing green iron.
“As global customers increasingly demand affordable green iron, there is an incredible strategic opportunity for the Pilbara to combine its world-class renewable energy and iron ore resources to capture more of the value chain,” he said.
