A large-scale chemical complex is proposed for Gladstone, for the production of renewables-based hydrogen and ammonia.
The Hydrogen Utility (H2U)
|Main end-use classification:
Industrial process – ammonia production
AUD$4.7 billion (full scale)
3 GW electrolyser plant capacity at full scale
The Hydrogen Utility (H2U), an Australian-based developer of hydrogen infrastructure, is proposing a large-scale chemical complex at Gladstone, Queensland, for the production of renewable hydrogen and ammonia.
The proposed development would be constructed in stages to integrate up to 3 Gigawatt (GW) in electrolyser plant and up to 5,000 tonnes per day in ammonia production capacity. It is expected that the proposed facility would be supplied solely by renewables-based energy from new-build solar and wind resources in the Queensland region of the National Electricity Market.
Through the Queensland Government’s land use planning and property development agency, Economic Development Queensland (EDQ), H2U have purchased a 171-hectare site at Yarwun in the Gladstone State Development Area, which is in close proximity to the export precinct at Fisherman’s Landing.
In April 2022, a strategic partnership agreement between Orica and H2U to support initiation of the first phase of the proposed project was announced. Working through a Memorandum of Understanding (MoU) on a master plan study, both parties are to explore opportunities for an exclusive domestic renewables-based ammonia offtake and supply agreement. The potential agreement would see renewables-based ammonia supplied directly to Orica’s Yarwun manufacturing plant from the project’s proposed Yarwun ammonia production plant. At the same time, it was announced the project had been a declared a Coordinated Project by the Queensland Government.
The parties would also collaborate on the exploration of a potential renewables-based ammonia export terminal at the Port of Gladstone, leveraging the existing Orica ammonia storage capacity at the Fisherman’s Landing Wharf and the associated connecting infrastructure in the Gladstone State Development Area to facilitate the meeting of potential export demand.
The master plan study is expected to take approximately six months with front-end engineering and development approval activities scheduled to commence in the latter part of 2022.
In August 2022, the Queensland Coordinator-General invited stakeholders to input into the draft terms of reference for an environmental impact statement (EIS) for the project: the draft terms of reference was online for input till 13 September 2022.
In November 2022, it was announced that H2U and Korea East West Power (EWP) had signed a MoU to develop value chains for green energy exports, with emphasis on the possible use of renewables-based hydrogen (which can be stored within ammonia) in decarbonising Korea EWP power stations
Updated: November 2022