Forrest strikes deal with UK billionaires for biggest renewable hydrogen play in UK

Iron ore billionaire and now green energy evangelist Andrew Forrest has continued his breathtaking spree of renewable hydrogen announcements, this time signing an agreement with the Bamford family to become the biggest supplier of renewable hydrogen in the UK.

The “multi-billion pound” deal, deliberately timed a day ahead of the Glasgow COP26 climate conference, has been struck with construction giant JCB and its offshoot Ryze Hydrogen, who will buy 10 per cent of the renewable hydrogen that Forrest’s Fortescue Future Industries plans to produce.

Under the partnership, FFI will lead the green hydrogen production and logistics to the UK market. JCB, owned by billionaire businessman Lord Bamford, and Ryze, owned and managed by his son Jo Bamford, will manage green hydrogen distribution and development of customer demand in the UK.

It appears to be mostly focused on shifting heavy transport to green hydrogen, including JCB’s construction equipment and Jo Bamford’s Wrightbus, the UK’s biggest bus manufacturing company which has already produced the world’s first hydrogen powered double decker bus (pictured above).

“Our agreement signals the first major shift in the global commercial landscape from fossil fuels towards the real, practical, implementable solution that is green hydrogen,” Forrest said in a statement late Sunday.

“We are delighted to announce this groundbreaking initiative at the critical climate forum of COP26.”

FFI has set itself the extraordinary ambition of producing 15 million tonnes of green hydrogen a year by 2030, and accelerating to 50 million tonnes per year in the next decade thereafter.

To put the scale of his plans in context, the Asia Renewable Energy Hub in Western Australia aims to build 26GW of wind and solar, which it says will produce less than 2 million tonnes of green hydrogen a year.

But Forrest says that he is lining up some 300GW of renewables projects, although none have yet been identified, but will also include hydro and geothermal projects, along with wind and solar.

Forrest has, however, announced a series of deals and acquisitions, including a majority stake in Dutch hydrogen and solar firm HyET, plans for a 2GW a year in hydrogen electrolyser production in partnership with the US-based Plug Power, and the purchase of US-based hydrogen technology companies Xergy Inc and Xergy One Ltd .

FFI is rapidly expanding to a staff of more than 550, including the recent poaching of Maia Schweizer, the CEO of Queensland government owned CleanCo, which is involved in its own renewable hydrogen projects in Queensland.

JCB chairman Lord Bamford said the deal with FFI is an important step towards getting green hydrogen to the customer.

“It’s fine having an engine powered by green hydrogen, but no good if customers can’t get green hydrogen to fuel their machines. This is a major advance on the road towards making green hydrogen a viable solution.”

JCB is the world’s third largest producer of construction equipment and has produced prototypes for super-efficient hydrogen engines, and a hydrogen fuelled backhoe loader and Loadall telescopic handler.

Jo Bamford is the founder of Ryze and the owner of Wrightbus. Ryze is building the UK’s first network of green hydrogen production plants, while Wrightbus has built the world’s first hydrogen double decker.

“This is a monumental deal, not just for us but for the UK as a whole,” Jo Bamford said in a statement. “We have chosen to partner with the global leaders in green hydrogen and it is fabulous that two countries, the UK and Australia, can come together to create a brighter future.

“We are walking the walk on green hydrogen and now we want the Government to show its commitment to the sector by investing in buses, trains, trucks, ships, aircraft  and the entire green hydrogen supply chain.”

Bamford, like Forrest, argues that any hydrogen made from fossil fuels causes more pollution than it saves, and is a transition fuel at best.

“This agreement demonstrates that green hydrogen does not need to be ‘transitioned’ via fossil fuel hydrogen. Production of it can commence at once, to meet the needs of all mobility. I have asked Andrew to deliver to me immediately that he has the capacity, and he has agreed,” Jo Bamford said.

The deal may be extended to also include the European market, depending on the growth of the market.

FFI Chief Executive Officer Julie Shuttleworth AM said, “This deal reinforces the inexorable march of green hydrogen as the fuel of the future,” said FFI chief executive officer Julie Shuttleworth, who has been in the UK with Forrest ahead of the Glasgow summit.

“Green hydrogen is critical for the planet and good for business, a powerful fuel and ingredient in the manufacturing of a large range of industrial, difficult-to-decarbonise products. It will be fundamental in enabling the decarbonization of heavy industry globally,” Shuttleworth said.

See also: Huge 2.8GW solar farm proposed for Tiwi Islands in new green hydrogen plan

And: South Australia shortlists seven renewable hydrogen projects for massive export hub