Coal

Fortescue looks to turn US coal mine into huge green hydrogen hub

Published by

Fortescue Future Industries has extended its green energy deal making to north America, signing an agreement that turn a former coal mine and the last coal generator in Washington state into a major green hydrogen facility.

Like many of FFI’s announcement, this does not yet reflect a commitment to invest, but a deal to conduct an exclusive feasibility study into converting the Centralia coal mine and neighbouring coal generator into the first green hydrogen hub in the US Pacific north west.

The Centralia coal mine, which extracted low quality sub-bituminous coal, was closed in 2006, but the coal generator – first opened in 1971 – is still generating, albeit at reduced capacity, using coal railed in from the Powder River Basin in the US mid-west.

The first of its two 670MW generating units closed in 2020, and the second is due to close in 2025, ending coal generation in the state, under a deal struck between Canadian owner TransAlta and the state government a decade ago.

FFI wants to redeploy the coal workforce at the green hydrogen facility, which it says would create hundreds of jobs. TransAlta has strong links to the Pilbara region, where Fortescue Metals mines its iron ore, and operates the 150MW South Headland gas plant.

“Repurposing existing fossil fuel infrastructure to create green hydrogen to power the world is part of the solution to saving the planet,” FFI founder and chairman Andrew Forrest said in a statement.

“The signing of this agreement is another important step in turning the corner once and for all, to implement the technologies carbon emitters need to reach net zero.

FFI's hydrogen proposals at Centralia. Please click to expand.
FFI’s hydrogen proposals at Centralia. Please click to expand.

FFI says the proposed green hydrogen production plant would enable the decarbonization of hard-to-abate sectors of the North American economy.

“FFI’s goal is to turn North America into a leading global green energy heartland and create thousands of green jobs now and more in the future,” Forrest said.

Forrest’s team has been working with the Lewis County Energy Innovation Coalition and Lewis Economic Alliance, which have been created to manage the development of the site and seek long term employment opportunities.

The groups plan to access a US Department of Energy hydrogen hub plant grant.

“We plan to utilise legacy fossil fuel infrastructure and workforce to produce green hydrogen and pursue a growing zero carbon economy in Lewis County and the Pacific Northwest region,” said Paul Browning, the head of FFI North America.

The proposal was won the support of local groups seeking to advance the green energy transition in Washington state.

“Our aspirational Beyond Net Zero Carbon initiative requires that we deploy innovative decarbonization technologies like green hydrogen. We look forward to taking this important work forward,” said Josh Jacobs, VP of Clean Energy Strategy at Puget Sound Energy.

“The hydrogen production envisioned by the proposed project represents the kind of scale needed to transform our port and maritime sector by delivering zero-emission fueling alternatives,” said Jennifer States, VP of Projects and Strategy at Washington Maritime Blue.

“Green hydrogen has the potential to decarbonize our transit operations safely and efficiently,” said Joe Clark, the executive director of Twin Transit said.”

 

Giles Parkinson

Giles Parkinson is founder and editor of Renew Economy, and of its sister sites One Step Off The Grid and the EV-focused The Driven. He is the co-host of the weekly Energy Insiders Podcast. Giles has been a journalist for more than 40 years and is a former deputy editor of the Australian Financial Review. You can find him on LinkedIn and on Twitter.

Share
Published by

Recent Posts

New Year begins with more solar records, as PV takes bigger bite out of coal’s holiday lunch

As 2025 begins, Victoria is already making its mark on the energy landscape with a…

3 January 2025

What comes after microgrids? Energy parks based around wind, solar and storage

Co-locating renewable generation, load and storage offers substantial benefits, particularly for manufacturing facilities and data…

31 December 2024

This talk of nuclear is a waste of time: Wind, solar and firming can clearly do the job

Australia’s economic future would be at risk if we stop wind and solar to build…

30 December 2024

Build it and they will come: Transmission is key, but LNP make it harder and costlier

Transmission remains the fundamental building block to decarbonising the grid. But the LNP is making…

23 December 2024

Snowy Hunter gas project hit by more delays and blowouts, with total cost now more than $2 billion

Snowy blames bad weather for yet more delays to controversial Hunter gas project, now expected…

23 December 2024

Happy holidays: We will be back soon

In 2024, Renew Economy's traffic jumped 50 per cent to more than 24 million page…

20 December 2024