Kogan Creek Renewable Hydrogen Demonstration Plant

September 24th, 2022

Kogan Creek Renewable Hydrogen Demonstration Plant

CS Energy is to construct a renewables-based demonstration hydrogen production facility located at the Kogan Creek power station in Queensland’s Western Downs region.

Main proponents:

CS Energy (plant Operator), Senex Energy

 

Main end-use classification:

Hydrogen in mobility, power use

Status:

Under construction – site construction activities are expected to commence around December 2022 with commissioning and operations occurring in late 2023

Estimated cost:

 

Other involvement:

 

Production details:

Up to 75,000 kilograms per annum capacity

Location:

Queensland, Australia

Announced funding:

AUD$28.9 million – Queensland Renewable Energy and Hydrogen Jobs Fund – contributing towards both the Hydrogen Demonstration Plant and associated offsite hydrogen refuelling facilities.

 

Project description

In October 2021, it was announced that CS Energy would proceed with the construction of a renewables-based hydrogen demonstration plant at CS Energy’s Kogan Creek power station; the station is located near Chinchilla on Queensland’s western Darling Downs, approximately 260 kilometres west of Brisbane.  This follows completion of a successful feasibility study undertaken in conjunction with IHI Corporation of Japan.

The demonstration plant includes the co-location of a solar farm, battery, hydrogen electrolyser and a hydrogen fuel cell next to the Kogan Creek power station.

Sizing of the demonstration facilities includes:

  • 2 megawatt (MW) solar farm
  • 2MW/4MWH battery
  • 1 MW hydrogen electrolyser
  • Small hydrogen fuel cell

The electrolyser would be powered by a behind-the-meter renewables-based solar energy facility.

Construction of the facilities is planned to commence around December 2022 with commissioning and operations anticipated for late 2023.

Project plans for a refuelling network in South-west Queensland are in the development phase. The project is well advanced in discussions with multiple potential off-takers, including from the heavy transport and haulage market in the Western Downs region.

In January 2022, it was announced that Sojitz Corporation, Nippon Engineering Consultants and CS Energy are to undertake a feasibility study, including a series of demonstration projects, supplying renewable hydrogen from the project for use by Pacific Island countries, specifically based on the needs of the Republic of Palau (an archipelago of islands) for utilisation in fuel cells (power grid usage) and hydrogen fuel cell vessels. The demonstration projects are proposed to take place over the period JFY2021 to JFY2023 and is supported by the Ministry of the Environment, Japan (MOEJ).

In March 2022, key project announcements included:

  • CS Energy has entered into an engineering, procurement and construction (EPC) contract with IHI Engineering Australia (a subsidiary of IHI Corporation Japan) to construct the demonstration plant, with actual site activities anticipated to begin around September 2022.
  • The Queensland Government announced it will provide AUD$28.9 million towards the demonstration plant and refuelling facilities.

In early May 2022, it was announced that CS Energy and (natural gas producer) Senex Energy agreed to form a joint venture (JV) to develop the Kogan Renewable Hydrogen Demonstration Plant: under the JV, CS Energy will operate and hold 75 per cent equity in the plant, while Senex Energy will hold 25 per cent equity in the plant. near Chinchilla.

 

Updated: September 2022