Andrew Forrest embarks on major US tour following marriage breakdown
Andrew Forrest has embarked on a high-powered US trip, including spruiking his green hydrogen push, as he deals with the fallout from his multibillion-dollar split from wife Nicola.
Andrew Forrest has embarked on a high-powered US trip – spruiking his green hydrogen push at the White House and inspecting Austal’s shipyards in Alabama – as he deals with the fallout from his multibillion-dollar split from wife Nicola.
The Forrests’ private investment vehicle Tattarang is the biggest shareholder in Austal, an ASX-listed shipbuilder, with a 19 per cent stake. Dr Forrest’s trip came as Austal entered a trading halt on Monday. North American suitors are circling the company, which has several lucrative contracts with the US Navy.
A spokesman for Dr Forrest declined to comment on a potential takeover but confirmed he and Tattarang chief executive John Hartman remained committed to the company.
Dr Forrest and Mr Hartman visited Austal’s facility in Alabama, where the USS Canberra – commissioned in Sydney last week – was built. They earlier attended meetings at the White House along with business briefings in Boston and New York.
Back home, his iron ore company Fortescue Metals Group celebrated its 20th anniversary and made its first shipment of magnetite from its Iron Bridge project to Vietnam, following a short delay.
Meanwhile one of Dr Forrest’s key lieutenants – Felicity Gooding, the acting chief financial officer of his green energy arm Fortescue Future Industries – has resigned, capping off a turbulent few weeks for the iron ore magnate.
The impression in the Fortescue camp is that Dr Forrest is keeping himself busy in the wake of the separation – the biggest split of wealth in Australia’s history – with plans to continue on a previously scheduled international trip rather than return home.
Mr Hartman talked up Austal’s prospects, saying it was “at the beginning of a cyclical upswing” and was likely to benefit from Australia’s defence pact with the US and UK, dubbed AUKUS.
“Austal’s US operations are still maturing and the business has some way to go to reach the potential we can see on the horizon,” he said.
“It requires strong governance to realise greater value and improve operational outcomes.
“We believe the Australian Defence Strategic Review and AUKUS are likely to present new opportunities for Austal.”
It’s been a tumultuous time for Dr Forrest, with Russian hackers saying they had breached Fortescue Metals Group and stolen customer data from the mining and green energy company. An internal investigation at FMG also cleared Dr Forrest after directors became aware of an anonymous letter concerning the behaviour of their executive chairman.
While Dr Forrest and Ms Forrest have said they will not divorce, the two are both billionaires and have equally split almost all of their vast Fortescue Metals Group shareholding, worth about $20bn.
But Ms Forrest has emerged wealthier from the split, with one key asset now solely in her name, putting her estimated fortune at $15.46bn – enough for seventh position on The List – Australia’s Richest 250, if it were recalculated now – and about $1.1bn higher than Dr Forrest’s $14.35bn.
The pair also have equal ownership of Tattarang, which includes cattle holdings, luxury bush outfitter RM Williams, Perth commercial property, at least two superyachts and the stake in Austral.
During the US trip, Dr Forrest announced that Fortescue Future Industries had acquired Phoenix Hydrogen Hub (PHH) for $US24m ($35.7m) – its first significant American green hydrogen project after the passing of US President Joe Biden’s Inflation Reduction Act.
Phase one of the PHH project will be an 80 megawatt electrolyser and liquefaction facility, capable of producing up to 12,000 tonnes of liquefied green hydrogen annually, which the company says can replace 10 million gallons (38 million litres) of diesel per year.
Dr Forrest spent an hour with Mr Biden at the White House in April in what was reportedly a “frank” and “lively” discussion about the billionaire’s green energy push.
Dr Forrest announced the Phoenix deal to Fortescue’s 20,000 staff via a video call from New York as part of the company’s anniversary celebrations.
FFI’s acting chief financial officer Felicity Gooding – who has also held key roles at Tattarang and the Forrest’s philanthropic arm Minderoo – will leave the company by the end of September. Mr Hutchinson said Ms Gooding had been “central to the strong and sustained growth we have seen at Fortescue Future Industries over recent years”.
“Felicity has positioned FFI to be increasingly customer-focused and capable of securing first-mover advantages in the green energy economy.
“While we are sad to see Felicity go, particularly after a long and dedicated period of service to the Fortescue family at large during her time at Minderoo and Tattarang, we are grateful to her for the incredible contribution she has made and look forward to hearing of her many successes.”
Fortescue will announce its quarterly production figures on Thursday. A spokesman said Dr Forrest would not join the analyst call, in line with previous briefings, with Fortescue boss Fiona Hick and FFI head Mark Hutchinson heading up proceedings.
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