Origin Energy has decided to withdraw from the Hunter Valley H₂ Hub (HVHH) project in New South Wales, citing slower-than-expected market development. CEO Frank Calabria emphasized that while H₂ could be part of the future energy mix, there are significant risks and challenges related to costs and technology.

The HVHH project, which aimed to produce H₂ to replace natural gas in ammonia manufacturing and provide alternative fuel for transport, was launched in 2022 through a partnership with Orica and received government planning approvals and funding.

However, Origin plans to cease all H₂ development efforts and focus instead on renewable energy and storage investments for immediate decarbonization and energy security. Despite this setback, Australia has a robust H₂ development pipeline, supported by government and private sector initiatives.

Source: Yahoo Finance

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