• Fortescue Future Industries intends to supply green hydrogen and its derivatives including green ammonia to Covestro
• FFI will supply up to 100,000 tonnes of green hydrogen equivalent per year, starting as early as 2024

Fortescue Future Industries (FFI), a global green energy and green industry company based in Australia, and Covestro, a world-leading, Germany-based supplier of high-tech polymer materials, intend to enter into a long-term agreement for the supply of green hydrogen and its derivatives, including green ammonia.

According to the Memorandum of Understanding (MoU), FFI and Covestro will formalise an agreement under which FFI will supply Covestro with the equivalent of up to 100,000 tonnes of green hydrogen (GH2) per year.

The arrangement will enable Covestro to reduce its greenhouse gas emissions by up to 900,000 tonnes of CO2 per year, by replacing grey hydrogen and its derivatives with GH2.

The deliveries are earmarked for three potential locations – Asia, North America and Europe – and could commence by 2024.

FFI and Covestro view the non-binding MoU as the first step towards a broader strategic partnership to accelerate the green energy transition, particularly in energy-intensive industry.

FFI Chairman Dr Andrew Forrest AO said, “This is a ground-breaking collaboration which reinforces the power of green hydrogen to accelerate the decarbonisation of some of the most energy-intensive industries around the world.

“FFI and Covestro share the belief that green hydrogen and green ammonia will play a crucial role in enabling companies to reach their climate targets and preventing runaway global warming.

“We look forward to working with Covestro to supply their green hydrogen needs, and collaborating with Germany to enable it to become the world leader in global decarbonisation, green hydrogen and ammonia,” Dr Forrest said.

Dr Markus Steilemann, CEO of Covestro said, “We are delighted that FFI shares our circular economy vision and is willing to take courageous steps to foster the urgently needed market ramp-up for green hydrogen.

“Our collaboration with FFI underlines our ambition to pioneer the transition towards a circular economy and climate-neutral production. Green hydrogen and its derivatives play a key role for the chemical industry, both as an alternative feedstock and a source of clean energy.

“The transition towards green hydrogen and its derivatives will be an important step forward in our efforts to offer more sustainable products that also reduce the carbon footprint of our customer industries,” Dr Steilemann concluded.

FFI CEO Julie Shuttleworth AM said, “Covestro is a global leader in its field with its materials used in nearly every area of modern life, including in the automotive, construction and electronics industries.

“This collaboration reinforces that green hydrogen is a practical, implementable solution for a range of difficult-to-decarbonise industries,” Ms Shuttleworth said.

Green hydrogen is made from renewable energy, producing zero pollution – its only by-product is steam. FFI’s ambition is to grow its green hydrogen production to 15 million tonnes of green hydrogen per year by 2030, accelerating to 50 million tonnes per year in the next decade thereafter.

Covestro uses hydrogen and its derivatives as feedstock in the production of high-performance polymers. As part of a broader circular economy strategy, Covestro committed itself to completely transition towards the use of fossil-free alternative raw materials and renewable energies. The partnership with FFI is an important milestone towards this goal.

Source: https://ffi.com.au/news

The company told the market today it has brought in Darwin based EcOz Environmental Services to prepare the referral submission for lodgement with the Northern Territory Environmental Protection Authority. 

GEV said environmental permitting would be an initial focus in the new year, given it would determine the overall timing of the project. 

It announced the hydrogen export project on the Tiwi Islands off the coast of Darwin in October. 

The project will have an initial capacity of 500MW of installed solar to power electrolysers, before expanding as the regional market grows and production and supply chain costs fall.

The company is targeting an eventual production rate of around 100,000 tonnes of green hydrogen per annum. 

GEV wants to use the project as a commercial demonstration of its compressed hydrogen transport ship design that is currently in development. 

The company emphasised today that is aiming to keep the environmental footprint of the project to a minimum, using existing plantation land to site the proposed solar development and the hydrogen production, compression and loading facilities would be built on an existing industrial precinct.

GEV announced it has also hired consulting firms ILF and Jacobs to prepare engineering studies supporting the referral submission, covering the key areas of solar generation, power transmission and water transmission. 

The two biggest impacts flagged so far will be the brine discharge from the proposed desalination plant, and the land clearing for the 30km transmission line corridor. 

The company expects to lodge the submission to the NT EPA in the first half of this year.

"The referral submission is an important step forward as the environmental process is likely to drive the project schedule," GEV executive director and chief development officer Garry Triglavcanin said. 

"There are a number of key environmental studies that can only be conducted during the current wet-season." 

GEV said it is working closely with the Tiwi Land Council, Nunupi Landowners and the Tiwi Plantation Corporation for land access requirements to support the project. 

The NT government has also appointed a case manager to the Tiwi Hydrogen Project to support GEV's interaction with relevant government agencies. 

The company expects to make further appointments in the March and June quarters to help the initial phase of the project reach FID by mid-2023. 

It will also look at beginning to market the green hydrogen project to potential offtake partners in Singapore, Japan, Korea and Indonesia. 

GEV shares are up 4.7% at 11c. 

Source: Energy News Bulletin

7 January 2022

Joint media release with the Prime Minister the Hon Scott Morrison MP

The Morrison Government is growing Australia’s clean hydrogen export industry through a new initiative aimed at attracting overseas investment into hydrogen supply chains originating in Australia.

The $150 million Australian Clean Hydrogen Trade Program (ACHTP) will support Australian-based hydrogen supply chain projects that secure overseas public or private sector investment.

The first round of the Program will focus on the export of clean hydrogen to Japan under the Japan-Australia Partnership on Decarbonisation through Technology.

Prime Minister Scott Morrison said the $150 million program would help to deliver on Australia’s commitment to reducing emissions by working with other countries to get the cost of clean energy technologies down.

“It is critical that we work closely with our international partners such as Japan to deliver on Australia’s low emissions objectives,” the Prime Minister said. 

“Clean hydrogen is central to both Australia’s and Japan’s plans to achieve net zero emissions while growing our economies and jobs.”

The ACHTP will support projects to develop export supply chains and commercialise production of clean hydrogen and derivative clean hydrogen-based compounds, such as clean ammonia. 

Minister for Industry, Energy and Emissions Reduction Angus Taylor said Australia is taking action to create new economic and employment opportunities on the pathway to net-zero emissions. 

“Establishing clean hydrogen supply chains will facilitate investment into Australia and will create jobs for Australians, many in our regional areas,” Minister Taylor said. 

“Australia is a world leader in clean energy and our high quality resources have long been in strong demand from our international partners. The Morrison Government is positioning Australia to become the international clean hydrogen supplier of choice and we are investing to make this reality.

“Our Government is providing an innovative and economically viable solution to producing clean hydrogen not only for Australia, but also for our international partners.”

Clean hydrogen is one of the priority technologies in the Government’s Long Term Emissions Reduction Plan and Technology Investment Roadmap.

The Program will be funded over five years from the $565.8 million committed for low emissions technology international partnerships in the 2021-22 Budget. 

Clean hydrogen could directly support 16,000 jobs by 2050, plus an additional 13,000 jobs from the construction of related renewable energy infrastructure.

Australian hydrogen production for export and domestic use could also generate more than $50 billion in additional GDP by 2050.

Source:

The Hon Angus Taylor MP

Minister for Industry, Energy and Emissions Reduction

23 December 2021

Minister for Resources and Water, Keith Pitt, has welcomed today’s Federal Court decision to reject a legal challenge that would have jeopardised a major resources project in the Northern Territory.

“This is a common sense decision that will allow grants for the development of the Beetaloo Basin to proceed, which has the potential to deliver thousands of jobs and billions of dollars in economic activity to the Northern Territory,” Minister Pitt said.

“The Instrument under which the grant program was written and the Approval Decision to award grants to Imperial Oil and Gas were both valid and we welcome that decision so that we can move forward with the program.

“The Beetaloo Basin has enormous potential to deliver the gas Australia needs for the future.

“Our resources and energy sector are vitally important to the Australian economy and are forecast to generate a record $379 billion this financial year.

“The taxes and royalties that are generated from the resources sector allow state and federal governments to provide the health, education and other essential services Australians rely on."

Source: 

The Hon Keith Pitt MP

Minister for Resources and Water

Tamboran announces that the Tanumbirini 2H and 3H horizontal wells in the Beetaloo sub-basin EP 161 were successfully fracture stimulated across 11 and 10 stages respectively within the target Mid-Velkerri B shale formation by Santos.

Full ASX announcement available here

Image: EP 161 Tanumbirini 2H/3H and EP 136 Maverick 1H location map

Source: Tamboran

Empire Energy completes C-2H well drilling

Empire Energy has successfully drilled, cased and suspended the Carpentaria-2H (C-2H) well in its EP187 permit which is located in the Beetaloo sub-Basin, Northern Territory.

For full article click here

Hydraulic Fracturing Implementation Progress Update Nov 2020 to Apr 2021

This progress update provides detail on the status of implementation from 1 May 2021 to 31 October 2021. There are 135 recommendations in total, however three of the recommendations were separated at the time of implementation planning, resulting in a total of 138 recommendations to be reported on.

As at 31 October 2021, 65 of the 138 total recommendations were fully completed. Updates to the implementation status of individual recommendations can be found by clicking on the relevant recommendations.

Highlights from the progress achieved in the six month reporting period and next steps align to the following four key areas of implementation and reform and are summarised below:

• The Strategic Regional Environmental Baseline Assessment (SREBA) for the Beetaloo Sub-Basin
• Regulation and Assessment
• Completing implementation of the Inquiry recommendations
• Information management and community engagement.

Updates on implementation of recommendations from the Final Report of the Scientific Inquiry into Hydraulic Fracturing are available on the Hydraulic Fracturing website.

1. SREBA
2. Regulation and Assessment
3. Completing implementation of Inquiry recommendations
4. Information Management and Community Engagement

Independent Oversight of the Ninth Hydraulic Fracturing Implementation Progress Update

The role of the Independent Overseer is to provide the Chief Minister and NT Government with independent advice on how the implementation of the recommendations from the Inquiry is progressing and being managed. The nature of this role requires the Independent Officer to remain at arms-length from day-to-day decisions and processes relating to implementation.

The Chief Minister approved the extension of Dr Ritchie’s term as Independent Overseer until 31 December 2022 to see out through implementation of remaining recommendations.

Dr David Ritchie, has provided comment on the progress of implementation outlined in the latest six-monthly update.

Overall, Dr Ritchie found that implementation continues satisfactorily in accordance with the findings of the Inquiry.

Read Dr Ritchie’s full advice here

To contact the Independent Officer, email Dr David Ritchie at independent.oversight@nt.gov.au

What’s next?

The NT Government is progressing from stage two to stage three of the Implementation Plan for most Hydraulic Fracturing Inquiry recommendations. Stage three recommendations are mostly larger projects that are anticipated to be delivered by December 2022. Progress updates will be announced through six-monthly community bulletins as Stage 3 of the Implementation Plan continues.

Want to find out more?

To find out about opportunities to engage in consultation or to keep up to date with status of implementation of each recommendations, sign up for regular updates on the website: hydraulicfracturing.nt.gov.au/contact or by email: hydraulic.fracturing@nt.gov.au

Please direct all correspondence to:
Hydraulic Fracturing Inquiry Implementation Taskforce
GPO Box 4396, Darwin NT 0801
T 08 8999 6573
E hydraulic.fracturing@nt.gov.au
W hydraulicfracturing.nt.gov.au

The Territory Labor Government knows that investing in renewables delivers clean, affordable and reliable energy for Territorians, attracts new private investment and creates more local jobs.

Today, a major step has been made towards the Labor Government’s 50% Renewable Energy Target. The tender has been awarded for the 35MVA (megavolt amps) Darwin-Katherine Battery Energy Storage System (DK BESS) – a ‘big battery’ – for the Darwin-Katherine grid, which will deliver cost savings of around $9.8 million per year. The DK BESS is expected to pay for itself in approximately five years.

Global technology leader Hitachi Energy is committed to advancing a sustainable energy future for all. With customers in the utility, industry and infrastructure sectors and a 30-year history in the Territory, Hitachi Energy will deliver the major components of the $45 million DK BESS to be built and located at Territory Generation’s Channel Island Power Station. 

The Darwin-Katherine Electricity System provides energy to 150,000 Territorians, and one in six customers have roof top solar panels. Customers are using more of their own solar generation to power their homes and businesses during the day rather than using traditional generation.

The $45 million DK BESS is the first step towards reducing the use of gas generators for the Darwin-Katherine system. It will unlock further capacity for households to connect their rooftop PV or for industry to invest into lower cost solar systems for the commercial and industrial operations. The DK BESS will use Hitachi Energy’s virtual synchronous machine technology to replace the existing thermal generation. 

The revised battery specifications offer increased storage capacity capable of delivering energy and services for longer than the original design. The battery will be online continuously, replacing one gas-fired generating unit.

Major benefits of the DK BESS include:

• Significantly reduced carbon emissions for the Territory. Reducing the need for gas-fired spinning reserve can deliver both cost savings of around $9.8 million and emissions reductions of about 58,000 tonnes per annum.

• Replaces a Frame 6 generating unit in providing contingency generation for power system events.

• Inertia from the battery will increase stability and reliability of the power supply. Fluctuations caused by the intermittency of solar energy can be managed quickly and efficiently.

Ongoing jobs and further training opportunities will be provided with the establishment of the DK BESS, supporting 25 local jobs during the build. 

Producing a BESS for the Darwin-Katherine electricity grid is a major part of the recently announced Territory Labor Government Darwin-Katherine Electricity System Plan, and fits into the Governments ‘Ready’ stage of the plan. It is also a cornerstone investment of Territory Generation’s Fleet Transition.

Construction will commence in 2022 with the DK BESS expected to be operational in 2023. 

Quotes from Chief Minister, Michael Gunner:

“We’ve backed renewables and so have Territorians - they know renewables deliver cleaner, cheaper and secure power.

“The cutting-edge technology in our Battery Energy Storage System will reinforce the Northern Territory as the solar capital and comeback capital of Australia. The BESS will store power and be the backbone of the Darwin to Katherine Electricity grid which keeps the lights on for 150,000 Territorians. 

“The Territory Labor Government is backing Territorians, solar and lower prices to get it done.”

Quotes from Minister for Renewables and Energy, Eva Lawler:

“The awarding of the BESS tender is a huge step forward in our plan for 50% renewables by 2030 – it is the cornerstone of our Darwin-Katherine System Plan.

“We want Territorians to have access to the latest and best technology as we build a stronger and more resilient power system for Territory households and businesses. Our electricity will be reliable and stable, while also being affordable for Territorians. 

“Renewables are the way forward, this is why we are investing in the BESS and hydrogen powered generators so we can have clean and efficient energy which helps us reach our renewables and net zero emission targets.”

Quotes from Territory Generation CEO, Gerhard Laubscher:

“Territory Generation is proud to be delivering on the Government’s Darwin-Katherine Electricity System Plan by installing the first of the region’s high specification security batteries.

“The Darwin-Katherine battery is a cornerstone of Territory Generation’s Fleet Transition. It is key to unlocking flexibility in our fleet to better manage the increasing impacts of solar on the system.”

Quotes from Hitachi Energy in Australia, Country Managing Director, Bernard Norton:

“Together with the Northern Territory Government and Territory Generation, we are enabling the Territory to meet ambitious renewable energy targets, by harnessing abundant solar resources, and move towards a carbon-neutral energy future.

“Hitachi Energy’s battery energy storage solution will be part of an intelligent electrical ecosystem and ensure full utilisation of solar energy generation and less reliance on fossil fuels.

“This battery energy storage system will allow greater penetration of renewable energy in the Territory, helping to ensure a sustainable, flexible and secure energy system for today’s generations and those to come.”.”

Source: NTG Newsroom

Eva Lawler 

Minister for Renewables and Energy

Central Australia Hydrogen Project Awarded Major Project Status

An off-grid hydrogen project in Central Australia is building momentum, with the Northern Territory Government announcing it has gained Major Project Status.

The Desert Bloom Hydrogen project is a staged commercial-scale green hydrogen operation. It has the potential to grow to a $15 billion project, and deliver around 410,000 tonnes per annum of hydrogen for domestic and international export markets.

Water is a precious resource and a sustainable water source is critical to development of renewable hydrogen projects in the Territory. This technology provides an innovative solution for securing a sustainable water source for the production of renewable hydrogen in Central Australia. The technology works by capturing water from the atmosphere in arid environments

The project is backed by Sanguine Impact Investment, which has committed $1 billion required for the project’s initial stages, and to provide the capital to roll out the full project.

Depending on how the project rollout is sequenced, it is expected that at its peak, more than 1,000 full-time jobs will be required for construction, both in Darwin and on-site in multiple locations, and more than 120 full-time jobs will be created to operate and maintain the project. 

Construction for the first stage of the project will require approximately 100 full-time construction jobs, and 6 full-time jobs for ongoing operations.

The next steps of this project include the Territory Government working with Desert Bloom Hydrogen to develop the staged project to its potential export scale, including identifying suitable land in Central Australia to harness solar energy and ensuring adherence to standard best practice regulatory processes and approvals.

Awarding of Major Project Status follows the company’s 12 week trial in the Barkly earlier this year.

The Government’s Northern Territory Hydrogen Masterplan outlines the Territory’s competitive advantages and how the Territory will leverage these advantages to be a centre of hydrogen technology research, production and use in Australia.

Desert Bloom Hydrogen’s proponent, Aqua Aerem, an innovative Australian and internationally owned company that is closely aligned with the nation’s push to drive new technology and accelerate the development of the domestic hydrogen industry. The project’s scale and ambition matches that of the Territory Government. 

 

Quotes from Chief Minister Michael Gunner:

“Being the comeback capital means creating more jobs in more places in the Territory – and Desert Bloom now marks the Territory’s first Hydrogen Major Project. 

“We are supporting a world-leading renewable hydrogen project, in technology that captures water from the atmosphere in arid environments. 

“With one of the best solar resources in the world – and the development of projects like Desert Bloom – the Territory will play a leading role in the emerging renewable hydrogen market.”

 

Quotes from Minister for Renewables and Energy, Eva Lawler:

“The Territory Labor Government supports hydrogen technology in the Territory. With its potential to expand to a $15 billion project, Desert Bloom  will further champion renewable hydrogen investment as part of the Territory’s transition to renewables – this is laid out in our Hydrogen Masterplan.

“The Desert Bloom Hydrogen technology provides an innovative approach to secure a sustainable water supply, which is an essential in the development of renewable hydrogen and will be particularly valuable in arid areas.

“As renewable hydrogen technologies are continuously evolving, having projects like this in the Territory is further cementing the Territory as a renewables super hub, while also creating long term jobs in the process.”

 

Quotes from Aqua Aerem CEO Gerard Reiter:

“This is proven technology that is ready to produce green hydrogen at commercial scale by 2023 with no impact on our water supplies. Desert Bloom will produce 410,000 metric tons of green hydrogen annually for export and domestic use when at full scale.

“The NT is the perfect place for this project, with the best solar conditions in the world, existing infrastructure that can be repurposed for hydrogen, and a strategic location close to the big Asian demand centres. On top of that, the NT Government has a big vision for a hydrogen-powered jobs boom that we are proud to be part of.”

 

Quote from Major Project Commissioner Jason Schoolmeester:

“Desert Bloom Hydrogen presents an exciting opportunity to accelerate the Territory’s hydrogen industry - production, supply and service, and research and training. 

“The provision of renewable power to our regional industries including mining and agribusinesses, will provide a competitive advantage in a world that is increasingly focused on sustainable supply chains.”

Source: NTG Newsroom

The Federal Government has announced five new areas in Australia’s waters will be made available for exploring offshore greenhouse gas storage opportunities. 

Minister for Resources and Water, Keith Pitt, said the bidding round opened on the 6 December for the 2021 Offshore Greenhouse Gas Storage Acreage Release, which is centred around prospective locations offshore Northern Territory and Western Australia.

“This is Australia’s first greenhouse gas acreage release since 2014 and it provides a pathway for future carbon capture and storage projects,” Mr Pitt said. 

“The Government is committed to reducing emissions through the use of technology, not taxes or impositions on business, while also ensuring that our industries remain strong.

“Australia has the capacity to continue to be an energy export leader, at the same time as providing a regional hub for the storage of greenhouse gas.”

Mr Pitt said that carbon capture, use and storage is one of the priority technologies the Federal Government is developing, and that the proximity to gas fields and existing infrastructure provides opportunities for industry partnership and collaboration, further industrial development and the creation of jobs.

“All 2021 Offshore Greenhouse Gas Storage Acreage Release areas are based on industry nominations and were subject to public consultation. The government is responding positively to real industry demand for CCS – a technology that we are supporting,” Mr Pitt said. 

Work program bids are to be submitted to the National Offshore Petroleum Titles Administrator between Friday 4 March 2022 to Thursday 10 March 2022.

Maps for the 2021 Offshore Greenhouse Gas Acreage Release, public consultation comments and information on the bidding process can be found here. 

Source: https://utilitymagazine.com.au/