ARENA Start Feasibility Study in Western Australia

The Australian government will disburse AUD 1.7 million (USD 1.1m/EUR 1m) in grant funding to back a study that aims to prove the feasibility of producing green hydrogen from an 850-MW electrolysis plant in the Kimberley region of Western Australia.

The Australian Renewable Energy Agency (ARENA) said on Tuesday the financing will go for the AUD-3.3-million first phase of the feasibility study for a project led by First Nations and initiated by Aboriginal Clean Energy Partnership Pty Ltd (ACEP). The study will start straightaway and take around five months to complete

The East Kimberley Clean Energy and Hydrogen Project calls for producing renewable hydrogen and ammonia on a large-scale basis with electricity from a 1-GW solar farm, to be built on lands owned by the indigenous MG Corporation. Once the green hydrogen is produced, expected to be around 50,000 tonnes per year, it will be transported by pipeline to Balanggarra Country and converted into ammonia. Then, the output will be sold locally as a fertiliser and exported to Asia.

The overall cost of the project is estimated at between AUD 2.7 billion and AUD 3.2 billion.

ACEP is a joint venture between First Nations representatives, Balanggarra Ventures Ltd, Kimberley Land Council Aboriginal Corporation (KLC) and climate and nature investment and advisory firm Pollination. The partners own equal stakes in the project vehicle.

To stay up to date with news in Asia’s Energy market, sign up for a free subscription!