Global players examine feasibility of Abbot Point ammonia project

An integrated hydrogen and ammonia production and export facility is being proposed for the Port of Abbot Point near Bowen.

The Abbot Point coal terminal.

An integrated hydrogen and ammonia production and export facility is being proposed for the Port of Abbot Point near Bowen.

A consortium behind the project, called HyNQ, North Queensland Energy Project, includes renewables developer Energy Estate, an Australian subsidiary to Japanese petroleum company Idemitsu Kosan and state-owned generator CS Energy.

The consortium will study the feasibility of generating and exporting green ammonia in a circuit including a water desalination plant and pipeline, electrolysers and domestic liquid hydrogen plant, hydrogen pipeline, ammonia plant, ammonia pipeline and floating jetty loadout.

Co-founder of Energy Estate Vincent Dwyer said the consortium was responding to a global push for decarbonised energy, in all its forms.

The Abbot Point coal terminal.

“Bringing together a group of highly respected energy companies, each focused both on the domestic opportunities for Queensland and key export markets of Japan and Korea, will help accelerate the potential of HyNQ, a project leaning into the opportunity for the export

of ‘sunshine gas’,” Mr Dwyer said.

A schematic showing the elements of the HyNQ project at Abbot Point.

Idemitsu Australia CEO Steve Kovac said the study was a critical step to supply low-carbon energy solutions and build infrastructure to support green industries.

“This is another major opportunity for North Queensland as we continue to build low-carbon and decarbonisation businesses and pave the way for Australia’s energy transition,” Mr Kovac said.

Energy, Renewables and Hydrogen Minister Mick de Brenni said Queensland’s clean energy transformation was the state’s greatest jobs opportunity in a generation.

“Our Queensland Energy and Jobs Plan provides the key ingredients to becoming a global hydrogen superpower and sets us up to play a leading role in helping the world achieve its decarbonisation ambitions,” Mr de Brenni said.

“This is another vote of confidence from our trading partners following the release of our first-of-its-kind in Australia report highlighting Queensland’s capacity to produce and export renewable hydrogen.”

The consortium will fund ongoing pre-Front End Engineering Design activities and, if successful, relevant FEED activities.

The project is looking to complete pre-FEED activities in the September quarter next year.

If the project proceeds, they plan a final investment decision in late 2024 or early 2025 with hydrogen and ammonia production commencing in 2027-28.

Originally published as Global players examine feasibility of Abbot Point ammonia project