A proposed multi-billion chemical complex producing green hydrogen and green ammonia is a step closer with a strategic partnership agreement initiating the first phase of the H2-Hub™ Gladstone project.
Acting Premier and Minister for State Development Steven Miles joined developer of green hydrogen infrastructure The Hydrogen Utility (H2U) and mining and infrastructure solutions provider Orica, in Gladstone for the announcement.
“Commitments like this help to propel Central Queensland towards becoming a clean energy powerhouse, as part of Queensland’s plan for economic recovery,” Mr Miles said.
“I can also announce today the Coordinator-General has declared the H2-Hub Gladstone a Coordinated Project.
“H2U and Orica estimate the H2-Hub™ Gladstone project has potential to create over 550 jobs during construction, over 140 ongoing operational jobs and approximately 1,900 indirect jobs, and attract a $4.7 billion investment during its phased construction.
“H2U and Orica today signed a Memorandum of Understanding on a master plan study to explore opportunities for an exclusive domestic green ammonia offtake and supply agreement.
“The potential agreement would see green ammonia supplied directly to Orica’s Yarwun manufacturing plant from H2U’s proposed Yarwun green ammonia production plant.”
Minister for Regional Development and Manufacturing, Minister for Water and Member for Gladstone Glenn Butcher said Central Queensland was establishing itself as a renewables powerhouse.
“These partnerships are highlighting the benefits of investing into Queensland’s regions and creating jobs for the future,” Mr Butcher said.
The partnership will also see Orica and H2U explore opportunities for a potential green ammonia export terminal at the Port of Gladstone.
”Being able to leverage off existing Orica ammonia storage capacity and the associated connecting infrastructure in the Gladstone State Development Area is an added benefit of this fantastic project.”
Mr Butcher said H2U’s Yarwun land purchase was made possible through the Queensland Government’s land use planning and property development agency, Economic Development Queensland (EDQ).
“This was a key step for the project, the State Development Area has the eco-system to deliver a project of this scale,” he said.
The H2-Hub™ Gladstone project, has a planned capacity of up to 3 gigawatts of electrolysis and up to 5,000 tonnes per day of green ammonia production. It is expected that the proposed facility will use 100 per cent renewable energy from new-build solar and wind resources in the Queensland region.
Orica President Australia Pacific and Asia, Germán Morales, said Orica has been operating in Yarwun for over 30 years, and is committed to ensuring its Yarwun facility and the Gladstone region remain competitive in a lower carbon economy, while creating more sustainable products for customers and opportunities across new industries.
“This partnership forms a critical milestone for the H2-Hub™ Gladstone project, and we look forward to working alongside H2U to define opportunities to progress the project and contribute to a more sustainable future for the region.”
H2U Founder and Chief Executive Officer Attilio Pigneri said H2U are delighted to welcome Orica as a strategic offtake and development partner in the H2-Hub™ Gladstone project. Securing participation from one of the leading players in the domestic ammonia industry is a huge vote of confidence in this game-changing project.
“We look forward to working with Orica, the Port of Gladstone, and the Queensland Government to establish Gladstone as a globally leading hub in the emerging green hydrogen and green ammonia export market, and to secure new long-term jobs and economic growth for Central Queensland.”
The master plan study will run for approximately six months with front-end engineering and development approval activities scheduled to commence at the back end of 2022.
The financial investment decision for the Activation phase of development is scheduled by 30 June 2023. With the H2-Hub™ Gladstone scheduled for operational activity to begin in 2025, with the latter Expansion phase to take place between 2027-2030.