Hydrogen Western Junction Project

September 21st, 2024

Hydrogen Western Junction Project

This project, located in northern Tasmania at Western Junction, at the location of Launceston Airport, is planning to supply renewable hydrogen to the domestic market throughout the State’s Midlands.

Main proponents:

Countrywide  Hydrogen Pty Ltd, Launceston Airport, Western Junction

 Main end-use classification:

Domestic use, including mobility uses

 Status:

Under development – a final investment decision is targeted for the first half of 2025

 Estimated cost:

AUD$40 million (excluding power generation)
Other involvement:

 

 Production details:

5-megawatt (MW) electrolyser capacity with hydrogen production capacity of 2.1 tonnes per day with refueller under the brand H2Co Energy

 Location:

Tasmania, Australia

 Announced funding:

Project description

The Hydrogen Western Junction Project would supply renewables-based hydrogen to the domestic market throughout Tasmania’s Midland area where the key supermarkets have their Distribution Centres and are target offtakers. As a five (5) MW electrolyser project powered by behind-the-meter solar, along with hydro and wind power, it would be located at Western Junction, the site of the Launceston Airport and TRANSlink, a Federally funded intermodal development.

The hydrogen would be produced via electrolysis with renewable power planned to be initially sourced from the State’s grid, with subsequent supply from behind-the-meter solar and power purchase agreements from wind, solar and hydro operators. Water would be supplied from TasWater’s network.

The initial domestic offtake opportunities lie in mobility applications in road transport and logistics with materials handling equipment as well as power generation using fuel cell gensets.

The project is currently in discussion with TasNetworks and the Tasmanian Government regarding the upgrade required to the Western Junction grid in collaboration with other interested parties.

In support of the proposed mobility applications, the project would have a refuelling station facility that would be owned and operated by Countrywide Hydrogen under the company’s refuelling brand H2Co Energy.

In July 2023, ReNu Energy (the parent company of Countrywide Hydrogen) announced several milestone points in project progression:

  • Wood and Countrywide Hydrogen have completed the selection of the technology, preferred suppliers, basic design, and capital cost estimates for the project.
  • Plug Power Inc. has been selected as the supplier of a 5 MW PEM electrolyser, designed for up to 2,100 kilograms of hydrogen production.
  • Fabrum Solutions Limited has been selected as the supplier of the hydrogen refuelling station, comprising a refueller hub and hydrogen tube trailer storage system.
  • Wasco (Australia) Pty Ltd has been selected as the construction contractor to work with Fabrum on the construction and balance of works for the project.

The project proponent has advised that the project is finalising Front-end Engineering Design (FEED) studies. Countrywide Hydrogen anticipates a final investment decision (FID) in the first half of 2025, subject to finalisation of FID requirements, project finance requirements and clarity on the grid upgrade. On this basis, commercial operations would be anticipated for the second quarter of 2027 depending on equipment delivery.

The electrolyser element of the project is designed to allow for the installation of a second 5 MW electrolyser if demand were to exceed two tonnes of hydrogen per day.

 

Reviewed (reviewed by the project proponent): September 2024