South Australia's intention to create a green hydrogen export industry has taken a big step forward with the November 2020 launch of a world-leading, $240-MM hydrogen project. This project would be the largest green ammonia plant in the world, being 60 times larger than Australia's largest electrolyzer at Tonsley in Adelaide.

To support the export potential of South Australia, the government is allocating $37 MM in the upcoming 2020/2021 state budget to upgrade the Port Bonython jetty as part of its ambitious plan to become an exporter of green energy, including hydrogen, to world markets in Asia and elsewhere. In particular, Japan has identified green ammonia as a key fuel to reduce its carbon emissions and fuel its economy.

The $240-MM demonstration phase of the project is of global significance, although it is only a precursor to a much larger production and export facility that could help the Australian state strengthen its energy ties with traditional trading partners. The initial stage of the $240-MM H2U Eyre Peninsula Gateway Hydrogen Project will see the installation of a 75-MW electrolyzer near Whyalla, capable of producing enough hydrogen to create 40,000 metric tpy of ammonia. This would be the largest green ammonia plant in the world, with targeted completion of late 2022.

The project will help drive the development of emerging markets for green hydrogen and green ammonia and offer the opportunity to export South Australia's abundant solar and wind resources to support deep decarbonization in the global energy, industrial and shipping sectors.