Lead Australia’s renewable hydrogen industry

Throughout the 2021/22 financial year we continued to drive the development of a renewable hydrogen industry in the State, progressing the proposed Central Queensland Hydrogen Project (CQ-H2 Project).

In September 2021, Stanwell took another step toward leading Australia’s renewable hydrogen industry, announcing the four new members that would be joining the CQ-H2 consortium between Stanwell and Japanese hydrogen supplier, Iwatani Corporation.

The members of our consortium are Japanese companies Kawasaki Heavy Industries, Kansai Electric Power Company and Marubeni, and Australian energy infrastructure business, APA Group.

The announcement of the consortium and the signing of the consortium Memorandum of Understanding (MoU) is a show of international confidence in Stanwell, and Queensland’s growing reputation as an ideal location for renewable hydrogen projects.

In December 2021, Stanwell and international renewables company, ACCIONA Energia, signed a MoU on the future energy supply for the proposed CQ-H2 Project. This MoU highlights the importance we are placing on developing strategic partnerships across the supply chain to support the development of Queensland’s renewable energy future.

We further established ourselves as a key player in the future renewable hydrogen export market, completing a detailed feasibility study which is planned to pave the way for a proposed front-end engineering design (FEED) program of works, commencing in the second half of the 2022 calendar year. The 12-month FEED study will further develop the technical, commercial and strategic elements of the project to allow for a final investment decision to be made in late 2023.

In June 2022, Stanwell along with Queensland’s Deputy Premier, Minister for State Development, Infrastructure, Local Government and Planning and Minister Assisting the Premier on Olympics Infrastructure, Steven Miles, participated in a trade mission to Tokyo and Osaka. During this visit, the Australian delegation met with key consortium partners, funding decision makers and other Japanese Government representatives. The visit played an important role in strengthening Stanwell’s relationship with our project partners, relevant government agencies, industry bodies and potential offtakers.

CQ-H2 funding

In the past financial year, our project secured strong support from all levels of government and our consortium partners. During the 2021/22 financial year, Stanwell and its consortium partners applied for funding from a range of organisations including, the QREHJF and the Australian Renewable Energy Agency (ARENA). In 2021, the ARENA confirmed a contribution of $2.17 million towards the CQ-H2 feasibility study. In June 2022, the Queensland Government announced a $15 million allocation to Stanwell from the QREHJF to progress the FEED study for CQ-H2. Following the trade mission to Japan, in June 2022 the Queensland Government committed $15 million from the QREHJF to support Stanwell to progress the FEED program of works for the CQ-H2 project. We anticipate outcomes from the remaining applications in late 2022.

Central Queensland Hydrogen Hub

We continued to work with local, national and international organisations to ensure a collaborative and coordinated approach to the planning and development of the hydrogen industry in Central Queensland. Through collaboration with key partners, we will help facilitate the creation of jobs and investment in the industry, and support electricity security and reliability.

In April 2022, the Australian Government, via its Clean Hydrogen Industrial Hubs program, announced $69.2 million in funding to Stanwell to support the development of a Central Queensland Hydrogen Hub. This funding will bring together key industry and community stakeholders to support the sustainable development of a hydrogen industry in the region ensuring that it is a catalyst for Queensland’s future economic and community development.