Parmelia Green Hydrogen Project

March 19th, 2024

Parmelia Green Hydrogen Project

Pipeline conversion and other studies are assessing the viability of producing and transporting renewables-based hydrogen via a 43-kilometre section of APA’s Parmelia Gas Pipeline to WesCEF’s production facilities in Kwinana, Western Australia.

Main proponents:

APA Group, Wesfarmers (Wesfarmers Chemicals, Energy and Fertilisers – WesCEF)

Main end-use classification:

Industrial applications / chemical products


Under development

Estimated cost:

AUD$3.46 million (project feasibility study)


Other involvement:


Production details:

Under evaluation


Western Australia, Australia

Announced funding:

AUD$300,000 – Western Australian Government Renewable Hydrogen Fund (second round award) awarded to APA Group (pipeline conversion study)

AUD$1.33 million –Australian Renewable Energy Agency (ARENA)              (project feasibility study)

Project description

The APA Group and WesCEF are undertaking a feasibility study to assess the viability of large-scale production and transportation of renewable hydrogen to WesCEF’s ammonia production facilities at the Kwinana Industrial Area south of Perth, via the southern section of APA’s existing Parmelia Gas Pipeline (PGP).

The study builds upon the completion of a pre-feasibility study by the Project Partners in 2023. This feasibility study will test the viability of producing and transporting hydrogen using existing pipeline infrastructure from a large-scale hydrogen production facility.

The project offers the opportunity to deliver large scale, renewables-based hydrogen to Kwinana – a land-constrained established industrial precinct – and creates optionality for hydrogen use in industry decarbonisation and growth.

In November 2023, ARENA awarded AUD$1.33 million to the project proponents in support of the project’s feasibility study.

The project focuses on the production of renewables-based hydrogen via electrolysis using variable renewable energy (VRE) and is being delivered in conjunction with APA’s PGP conversion project, which is assessing the ability to convert a 43-kilometre section of the PGP to transport pure hydrogen.

Testing undertaken as part of the PGP conversion project has indicated that it is technically feasible, safe and efficient to operate the southern section of the gas pipeline at current operating pressure using 100 per cent hydrogen.

The Parmelia Gas Pipeline Hydrogen Conversion Technical Feasibility Study, supported by a AUD$300,000 grant under the Western Australian Government’s Renewable Hydrogen Fund, has been completed and involved testing the pipeline material in a gaseous hydrogen environment.


Updated: March 2024