Glencore Surat Hydrogen Project (Archived)

Glencore Surat Hydrogen Project 

The project proponent is undertaking studies into the use of coal as feedstock to produce hydrogen and ammonia, with carbon capture and storage technologies used to capture and store the majority of CO₂ emissions produced as part of the process.

Main proponents: Glencore	Main end-use classification: Industrial process – ammonia production, export focussed	Status: Under development – feasibility studies	Estimated cost: AUD$20 million – feasibility studies
Other involvement:	Production/consumption details: Under evaluation	Location: Queensland, Australia	Announced funding:

Project description

The project proponent is undertaking studies for a commercial scale hydrogen and ammonia project in Queensland.  The project comprises two elements: the hydrogen/ammonia production element and the carbon storage element.

The project proponent is investigating the potential use of a relatively small portion of its (undeveloped) Wandoan coal resource (up to 4 million tonnes per annum) as a feedstock to produce (low emissions) hydrogen and ammonia, incorporating carbon capture and storage technologies to capture and store the majority of CO₂ emissions produced as part of the process.

The hydrogen and ammonia production facilities would be located at the site of a potential coal mine development, in the region west of the town of Wandoan, located 400 kilometres north-west of Brisbane and 380 kilometres south-west of Gladstone.

The hydrogen extracted from the coal feedstock through an above ground coal ‘gasification’ process would be combined with nitrogen to synthesise ammonia using the standard Haber-Bosch reaction.

Most of the CO₂ produced as part of this process would be captured, compressed and transported by pipeline to a storage site located at Glencore’s EPQ 10 storage tenement about 200 kilometres south of the Wandoan hydrogen/ammonia production site (and where it would be injected underground to a depth of more than two kilometres). A related (but separate) project, the CTSCo Project, is an exploration and trial injection project investigating CO₂ storage in the Precipice Sandstone on EPQ 10.

The produced ammonia would be transported by pipeline to the port of Gladstone in compressed liquid form where it would be stored in tanks for export and domestic use.

The project is in its early stages of development and is now completing feasibility studies.  The project proponent has allocated an initial funding of AUD$20 million for feasibility studies. On current planning, and subject to regulatory approvals and completion of commercial and technical milestones, a final investment decision could be possible by the end of the decade.

In May 2024, the Queensland Government Department of Environment, Science and Innovation determined the CTSCo Surat Basin Carbon Capture and Storage Project is not suitable to proceed. In response to this determination, a May 2024 release by Glencore is strongly suggestive that the (related) Glencore Surat Hydrogen Project has been placed on hold.

 

Updated: June 2024