Hunter Energy Hub
Hunter Energy Hub
The project proponents are undertaking a feasibility study to explore the development of a renewables-based hydrogen and ammonia production facility in the Hunter Valley region of New South Wales.
| Main proponents:
AGL Energy, Fortescue Future Industries |
Main end-use classification:
Domestic and export markets under evaluation |
Status:
Under development – feasibility study |
Estimated cost:
|
| Other involvement:
APA Group, INPEX Corporation, Jemena, Osaka Gas Australia |
Production details:
Large-scale hydrogen production facility between 150 megawatt (MW) to 2 Gigawatt (GW) under evaluation |
Location:
New South Wales, Australia |
Announced funding:
|
Project description
In December 2021, it was announced that AGL Energy and Fortescue Future Industries had executed a Memorandum of Understanding (MOU) to explore the development of a renewables-based hydrogen production facility in the Hunter Valley region of New South Wales (at the site of the of the AGL-operated Liddell and Bayswater coal-fired power stations, which are planned for closure in 2023 and between 2030-2033 respectively).
The facility forms part of a proposed ‘Hunter Energy Hub’ development, that would combine grid-scale batteries, solar thermal storage, wind and pumped hydro.
In August 2022, an expanded feasibility study was announced with additional partners – APA Group, INPEX Corporation, Jemena and Osaka Gas Australia, with their respective roles in the study included in the announcement release.
The feasibility study is mapping key operational and commercial plans for the project as well as developing a production timeline. Focus is on assessing the implementation of a large-scale renewables-based production facility ranging from a minimum 150MW and up to 2GW of hydrogen and its derivatives such as ammonia for export and domestic use. The study will review essential inputs, including renewable energy costs, firming requirements, electrolyser capital costs, logistics and utilisation, etc.
The study is expected to be completed by end 2022.
Note: the October 2022-23 federal budget released on 25 October 2022 included a broad support measure of AUD$100 million to support the Port of Newcastle and the Hunter region to become hydrogen-ready.
Reviewed: October 2022