Sumitomo and JGC Holdings have signed a Front End Engineering and Design (FEED) contract for a hydrogen project planned in Gladstone.
Sumitomo said the initial plant was expected to produce 250-300 tonnes of hydrogen annually, with plans to scale up production.
Announcing the FEED contract, the company highlighted Gladstone’s credentials as a location for hydrogen production and consumption.
These included its industrial infrastructure, government initiatives on climate change, and having potential to decarbonise existing sectors.
“It also has rich solar radiation with long daylight hours, which leads to the Green Hydrogen production site,” the company said.
“This project is part of broader program that aims long term to build local hydrogen production and consumption in Gladstone by producing hydrogen from electrolysis of water using electricity from Solar PV as the main power source.”
In parallel with initiating hydrogen production, the company plans to create hydrogen demand in this region.
“Sumitomo Corporation expects hydrogen to be one of the important energies in the future, and promotes hydrogen-related business such as local production and consumption projects and large-scale value chain projects, that utilise the regional requirements of energy and the characteristics of hydrogen,” it said.
The announcement came after Pure Hydrogen Corporation and Liberty Hydrogen revealed they had earmarked Mackay and Gladstone for hydrogen manufacturing and distribution hubs under a new joint venture company.
The new venture plans to develop four hydrogen manufacturing and distribution hubs – Project Jupiter (Gladstone), Project Mars (Mackay), Liberty North (Newcastle) and Liberty South (South East Victoria).