Fortescue, AGL to study green hydrogen production at NSW coal power sites

Concept map of AGL’s Hunter Energy Hub. Image by AGL (www.agl.com.au)

December 8 (Renewables Now) - Fortescue Future Industries (FFI) and AGL Energy Ltd (ASX:AGL) will explore repurposing infrastructure at two coal-fired power stations in Hunter Valley, New South Wales (NSW) to produce green hydrogen, the companies said on Wednesday.

The green energy business of iron ore giant Fortescue Metals Group Ltd (ASX:FMG) and the Australian utility have signed a memorandum of understanding (MoU) to undertake a 12-month feasibility study of the project at the site of Liddell and Bayswater power stations.

“The proposed development plays a significant role in AGL’s plans for an integrated industrial ‘Hunter Energy Hub’ which would be powered by clean energy, delivered through grid-scale batteries, solar thermal storage, wind, pumped hydro and the co-location of industry,” explained AGL managing director and chief executive Graeme Hunt.

The initiative could see an initial 250 MW of new wind and solar used to produce 30,000 tonnes of green hydrogen per year. Electrolysers could ultimately reach gigawatts, powered by new wind and solar, and underpinned by new pumped hydro and batteries. The clean energy will be generated by FFI, AGL and other parties.

As part of the MoU, FFI and AGL will also look into the potential of green hydrogen to fuel co-located industries, as well as export options.

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Plamena has been a UK-focused reporter for many years. As part of the Renewables Now team she is taking a keen interest in policy moves.

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