Stanwell Central Queensland Hydrogen Project Feasibility Study
- $2.16m Funded by ARENA
- $10.49m Total project cost
Summary
The Stanwell Central Queensland Hydrogen Project Feasibility Study will investigate the technical and commercial viability of a proposed green hydrogen export project to be located at Gladstone, Queensland.
Key Results
- Viability of a large-scale renewable hydrogen supply chain to Japan was assessed.
- The Feasibility Study concluded that the CQ-H2 Project is technically feasible, with appropriate industrial land secured and suitable power supply (renewable energy in the form of solar and wind (supplemented by large-scale generation certificates where required) via BTM and NEM connections), water supply and treatment, cooling and wastewater disposal solutions.
- The Project is potentially commercially viable at the proposed scale for Phase 1 with appropriate Government support.
- Phase 2 is commercially viable as an independent standalone project.
- The Feasibility Study further concluded that the Project’s social, stakeholder and associated impacts will be positive.
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Central Queensland Hydrogen Project Feasibility Study
The Central Queensland Hydrogen Project Feasibility Study Report sets out the scope, approach and conclusions of the Feasibility Study and identifies a clear pathway to Front End Engineering Design (FEED).
Media Release: Opening up Renewable Hydrogen Export Opportunities with Japan
On behalf of the Australian Government, ARENA announced funding to Stanwell Corporation Limited (Stanwell) to complete a feasibility study for a proposed hydrogen export project located in Gladstone, Queensland.
Need
The Stanwell Central Queensland Hydrogen Project Feasibility Study acknowledges that domestic and international markets for renewable hydrogen are emerging. Australia holds a competitive advantage in the emerging hydrogen export market due to its existing expertise and infrastructure in energy export supply chains, proximity to emerging hydrogen import markets in Asia with established trade relationships, and an abundance of renewable energy resources.
A key challenge of producing cost-competitive green hydrogen by electrolysis is the high capital costs. However, large export projects have an opportunity to reduce these costs due to economies of scale. Stanwell, in collaboration with a consortium of domestic and Japanese companies that have the potential to deliver a large-scale hydrogen export project, will explore the export opportunity in Central Queensland, which could support the growth of renewable energy in the region.
Action
The project will investigate the feasibility of the complete hydrogen supply chain including electrolysis, storage, handling, liquefaction, transportation and shipping and has been designed by a consortium to align with the requirements of an investment decision to move to the front end engineering and design (FEED) stage. The project will also provide key outputs that will support an investment decision making process.
Outcome
If feasible, the project would encourage the growth of a green hydrogen export industry in Central Queensland and support the growth of renewable energy in the region. It will also help reduce barriers to renewable energy uptake by increasing international engagement with Japan and building relationships with major commercial Japanese partners.
Additional impact
A recent joint concept study conducted by Stanwell and project participant, Iwatani, found a green hydrogen industry could create significant investment, job opportunities and energy load growth in Central Queensland. At its peak, a proposed Central Queensland Hydrogen Project would provide more than 5,000 new jobs. It could also deliver $4.2 billion in hydrogen exports and $10 billion to Queensland’s Gross State Product over its 30-year life as well as benefiting construction, utilities, heavy manufacturing and a range of local service industries.
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ARENAWIRE Blogs
Scoping plan to export hydrogen from Gladstone to Japan
A new study will scope the feasibility of producing renewable hydrogen in Gladstone for the Japanese market.
