September 28 (Renewables Now) - The New South Wales government today said it has signed an AUD-45-million (USD 28.7m/EUR 27.3m) funding deal backing Origin Energy Ltd’s (ASX:ORG) plan to install a 55-MW electrolyser to produce green hydrogen on Kooragang Island.
The Hunter Valley Hydrogen Hub, which has also secured financing from the Commonwealth government, is initially planned to produce 5,500 tonnes of hydrogen annually from a grid-connected electrolyser that will potentially be expanded to 1 GW over the next decade. The production process will be powered by grid-connected electricity and large-scale renewable certificates.
To be located in proximity to explosives and chemicals group Orica’s Kooragang Island ammonia manufacturing facility, the electrolyser will kick off operations by 2026. Most of the hydrogen output will be supplied to Orica, while some of it will be delivered to customers in the transport sector through onsite and satellite refuelling stations.
The project, to be led by Origin Future Fuels, will open up to 150 construction and ongoing jobs and will support the Aussie state in reaching its 2050 net-zero target.
(AUD 1.0 = USD 0.637/EUR 0.607)