Mid West Clean Energy Project

October 16th, 2024

Mid West Clean Energy Project (MWCEP)

The project proponent is evaluating progressing the development of a natural gas reforming process with integrated CO2 storage and renewables-based hydrogen production and ammonia export complex in the mid-west region of Western Australia.

Main proponents:

Pilot Energy

Main end-use classification:

Export focussed – ammonia production

Status:

Under development

Estimated cost:

 

Other involvement:

 

Production details:

Hydrogen production using natural gas reforming process with over one million tonnes per annum of integrated excess carbon storage capacity for third party use and renewables-based hydrogen to initially produce up to 200,000 tonnes per annum of low-carbon hydrogen. Expansions are targeting up to 450,000 tonnes per annum.

Location:

Western Australia, Australia

Announced funding:

 

Project description

In 2022 Pilot Energy initiated the MWCEP to leverage its existing operational asset base into the production of clean energy. The MWCEP is a clean ammonia export project aiming to produce up to 1 million tonnes per annum of clean ammonia from 200,000 tonnes per annum of hydrogen production, with a targeted production start date of 2028/29.

The project includes a fully integrated CO2 storage operation through the conversion of the operating Cliff Head offshore oil field (which is located 120 kilometres south of Geraldton, 12 kilometres off the mid-west coast of Western Australia). Carbon capture and storage enables the production of blue hydrogen and ammonia. The project would be designed to incorporate the supply of hydrogen into the Western Australian domestic market.

In June 2024, the project proponent announced that the MWCEP had received Declaration of Greenhouse Gas Storage Formation for the Cliff Head CO2 Storage Project Pilot (which forms part of the overall MWCEP).  The release also indicates that with the receipt of the Declaration, the project can procced to further phases of development planning, including traditional owner and stakeholder engagement, CO2 storage project FEED and final selection of hydrogen and ammonia technology partners (to enable Ammonia FEED to commence in the second half of 2024), and progress remaining project approvals.

In July 2024, the project proponent announced that a consortium (the “K-Consortium”) comprising Korea’s major power generation companies (“Gencos”) and energy companies (“Energycos”) has been formed to review equity participation in the MWCEP, currently being solely developed by Pilot. The release notes that the K-Consortium wishes to respond to the Korean hydrogen power generation auction market by securing ammonia offtake from the Project.

 

Reviewed (reviewed by the project proponent): October 2024