Orica and H2U join forces on multi-billion green ammonia project in Gladsone

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Developer of green hydrogen infrastructure The Hydrogen Utility (H2U) and mining and infrastructure solutions provider Orica have announced a strategic cooperation to kick off the first phase of the proposed H2-Hub Gladstone project in Queensland.

The project will support a steady transition to renewable energy in Central Queensland by creating over 550 construction jobs, over 140 ongoing local operational jobs, and approximately 1,900 indirect jobs, as well as attracting a $4.7 billion investment during its phased construction.

It will also provide the region with the opportunity to capitalise on the growing global green ammonia industry, which is expected to exceed a$50 billion by 2031.

The two companies have signed a Memorandum of Understanding on a master plan to explore opportunities for an exclusive domestic green ammonia offtake and supply agreement.

The master plan study will take around six months to complete, with front-end engineering and development approval processes starting in late 2022.

According to Orica’s statement, the potential agreement will see green ammonia supplied directly to its Yarwun manufacturing plant from H2U’s proposed Yarwun green ammonia production plant.

Orica and H2U will also work together to investigate the possibility of a green ammonia export terminal at the Port of Gladstone, leveraging Orica’s existing ammonia storage capacity at Fisherman’s Landing Wharf and the associated connecting infrastructure in the Gladstone State Development Area to enable large-scale exports.

The H2-Hub Gladstone, a multibillion-dollar industrial-scale green hydrogen and ammonia production complex, is expected to have an electrolysis capacity of up to 3 gigawatts and a green ammonia production capacity of up to 5,000 tonnes per day.

The proposed facility is anticipated to run entirely on renewable energy generated by new-build solar and wind resources in the Queensland area of the National Electricity Market.

Image credit: https://www.orica.com/news-media/2022/orica-and-h2u-group-team-up-on-gladstone-green-ammonia-project?fbclid=IwAR10Za_b7qlql81Mpv_2TZjPrg9x1S1pTfM1HAkQ7PA8dNCL5IShM-KWwnw#.YlW0T8hBxEa