Fortescue opens Australia’s largest hydrogen electrolyser plant
Mining giant Fortescue’s green ambition has progressed with the opening on Monday of Australia’s largest hydrogen electrolyser plant in Queensland.
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Fortescue will open Australia’s largest electrolyser manufacturing facility at Gladstone on Monday as part of plans by the Andrew Forrest-backed mining giant to become a major force in hydrogen and renewable energy
The 15,000 sqm advanced manufacturing facility in Queensland, constructed and fully commissioned in two years, will have that capacity to produce more than 2GW of proton exchange membrane (PEM) electrolyser stacks annually.
The launch has paved way for the Queensland government to sign off on the next phase of the facility – a 50MW green hydrogen production facility called PEM50.
Fortescue Energy chief executive Mark Hutchinson said the facility has positioned Fortescue and Gladstone as a large-scale producer of what will be an increasingly sought-after commodity in the global shift to green energy.
“We’re strategically focused on building out our energy business,” he said.
“Not only are we developing a pipeline of green energy projects, we’re also now designing and manufacturing the specialised equipment and technology that will underpin our green hydrogen projects and that of others,” he said.
Mr Hutchinson said the facility, which produces electrolysers designed in-house by Fortescue, established the company as an original equipment manufacturer (OEM).
“The process of splitting hydrogen and oxygen isn’t new – but the innovative ways the world is looking to use green hydrogen to decarbonise are, and that means demand for green hydrogen and for the electrolysers to produce it is growing rapidly,” Mr Hutchinson said.
The development of the site received support from the Queensland government, including the provision of an electrical substation, road network, communications and local scheme water connection, as well as the allocation of land.
The federal government tipped $44m for the collaboration stream of the modern manufacturing initiative into the program.
“Together we have laid the cornerstone for what will be a massive new manufacturing industry in Australia creating the potential for thousands of new green energy jobs,” Fortescue executive chairman Andrew Forrest said.
More than 100 jobs were created during the construction process, and the facility and wider centre on the outskirts of Gladstone will ultimately underpin more than 300 direct and indirect jobs.
Electrolysers split hydrogen and oxygen by passing an electrical current through water, which is made up of both molecules.
The electrolyser facility is the first stage of a wider green energy manufacturing centre being developed by Fortescue on the 100ha Gladstone site, the next phases of which will include a hydrogen system testing facility and Fortescue’s PEM50 green hydrogen project.
PEM50 will receive development approval from Queensland’s Co-ordinator General on Monday, paving the way for construction to begin.
It will use the locally made proton exchange membrane (PEM) electrolysers with approval to produce green hydrogen for local and export markets. Once operational it will be the first commercial-scale green hydrogen facility for Fortescue.
“Queensland is now leading the nation on investment in renewable energy, and we are now seeing that translate into good manufacturing jobs in our regions,” Queensland Premier Steven Miles said.
“This is why one of my first announcements as Premier was to commit to 75 per cent emissions reduction by 2035 on the path to net zero because it means accelerating investment in good clean economy jobs in our industrial heartlands.”
Federal Industry and Science Minister Ed Husic said the site would cut emissions and increase jobs in regional areas such as Gladstone.
“This hydrogen gigafactory shows what can be achieved when government and industry work together for the long-term good of the country,” he said.
Shares in Fortescue Metals have fallen 16 per cent to $24.78 since January 1, amid a reversal in the fortunes of global iron ore prices due to a moderate outlook for the Chinese economy.
Originally published as Fortescue opens Australia’s largest hydrogen electrolyser plant
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