ENGIE has taken the FID in the development of one of the world’s first industrial-scale renewable H₂ projects, to be in the Pilbara region of Western Australia.

Scheduled for completion in 2024, the first phase of the Yuri project will produce up to 640 tpy of renewable H₂ as a zero-carbon feedstock for Yara Australia’s ammonia production facility in Karratha. This will be key to developing a Pilbara Green Hydrogen Hub, serving local and export markets, and building on existing export infrastructure and abundant renewable energy resources in the region.

As announced in 2021, the Yuri project is being developed with the support of a $47.5-MM grant from The Australian Government’s ARENA Renewable Hydrogen Deployment Fund and a $2-MM grant by the Western Australian Government’s Renewable Hydrogen Fund. ENGIE has executed an agreement with Mitsui & Co., pursuant to which Mitsui has agreed to acquire a 28% stake in the joint venture company for the Yuri project, subject to the satisfaction of certain conditions under the agreement. ENGIE and Mitsui intend to operate the Yuri project through this joint venture company.

The project will include a 10-MW electrolyzer powered by 18 MW of solar PV and supported by an 8-MW battery energy storage system, generating renewable H₂ for use in Yara Australia’s ammonia facility at Karratha. Permitting is completed, a 100% offtake contract is in place with Yara, and construction is set to commence by November 2022, thanks to a consortium made of Technip Energies and Monford Group selected as EPC contractor for the project.

Once commissioned it will be amongst the largest renewable energy powered electrolysis in the world, which will provide lessons to accelerate the H₂ industry in Australia and demonstrate the ability to integrate electrolyzers with ammonia plants. The project will also share knowledge and experiences in the areas of community engagement, permit processes and industry participation.

“I am delighted to see the Yuri project moving forward very concretely as it fully illustrates one of the pilars of ENGIE’s hydrogen roadmap: industrial decarbonation. Thanks to Australian authorities, we pave the way for hydrogen market development worldwide,” said ENGIE Executive Vice President in charge of Thermal Generation, Hydrogen and Energy Supply Activities, Sébastien Arbola.

“We have a strong pipeline of renewables, storage and hydrogen projects in Australia; as each one of these projects reaches financial close, construction and commissioning, we get closer to decarbonizing our economy and realizing our ambitious net zero targets,” said ENGIE Australia and New Zealand Chief Executive Officer Andrew Hyland.