Power companies Meridian and Contact have released a list of four potential partners to develop the world's first large-scale green hydrogen plant in Southland.
The announcement of a shortlist to help develop the hydrogen plant is a major step forward, Meridian says. Photo: 123RF
The companies have been investigating the feasibility of producing hydrogen from renewable energy.
They have received more than 80 responses to their initial call for interest in the Southern Green Hydrogen Project, aimed at electrifying carbon intensive sectors, including heavy transport, aviation, shipping and agriculture.
The shortlist comprises:
- a Japanese consortium of investment group Mitsui and ENEOS, an energy company
- British based gases and engineering company BOC, part of the Linde group, which is already involved in the production, processing, storage and distribution of hydrogen
- Australia's Fortescue Future Industries, a green energy company
- Australian natural gas producer Woodside Energy
Neal Barclay Photo: Supplied
Meridian chief executive Neal Barclay said the shortlist was a major step forward in the commercialisation of green hydrogen in the region.
"These shortlisted counterparties all have strong hydrogen supply chain capability and a willingness to invest in the opportunity.
"Their involvement demonstrates that markets for green hydrogen are imminent and that Aotearoa's renewable energy resources have substantial potential to help decarbonise our domestic economy and increase export earnings," Barclay said.
The shortlisted companies would now put together early stage business plans and cases for a 600MW (megawatt) production facility in Southland due.
Their plans are due to be submitted by mid-April.
Contact chief executive Mike Fuge said Southern Green Hydrogen was leading much of the world in developing a large-scale project.
The project managers were also pressing on with settling water access, land use and consenting, while they would also be looking at engineering companies interested in providing service and equipment for the project.
The hydrogen project emerged against the prospect that the Tiwai Point aluminium smelter was expected to close after 2024, freeing up a significant amount of power.
However, this month the smelter's majority owner Rio Tinto signalled it wants to stay beyond that date given decade-high prices for its products.
Earlier this week, Fuge told RNZ that it was definitely possible to supply the smelter and a green hydrogen plant.
Southern Green Hydrogen is aiming to announce a partnership mid-year so development activities can start in the second half of the year.