Fortescue Future Industries (FFI) and Los Angeles-based Universal Hydrogen Co. (UH2) have joined forces to enable the aviation industry to decarbonize through zero-emissions green hydrogen. 

Under the signed MOU, the companies have agreed to:  

• Negotiate a global offtake arrangement whereby FFI will supply green hydrogen to Universal Hydrogen to power regional and other aviation sectors until 2035;
• Conduct a scoping study to develop green hydrogen production and logistics hubs in Iceland, New Zealand and Southeast Queensland; and
• Evaluate future green hydrogen demand in the aviation industry on a region-byregion basis to identify and promote green hydrogen adoption and uptake.

"Currently, aviation accounts for 2.5% of global CO2 emissions, and emissions have doubled since the 1980s," said FFI Chairman Andrew Forrest AO. "Electrifying our planes will only go so far and will only be appropriate for smaller aircraft, due to current limitations around battery technologies. Green hydrogen, in contrast, is a practical solution we can use right now."

"This agreement will help ensure that we have adequate supply of green hydrogen globally to fuel not only regional aviation in the 2020s, but to support the entry into service of a hydrogen single aisle airplane in the 2030s," Universal Hydrogen CEO Paul Eremenko said. "We see green hydrogen as the only credible path for aviation to reach Paris Agreement emissions targets."

"Through the investment of companies like FFI, we expect green hydrogen to be at cost parity with jet fuel on an equivalent energy basis by the mid-2020s, and to be significantly cheaper in the years that follow," Eremenko said.

Universal Hydrogen, in which FFI is also an early investor, is building a flexible, scalable, and capital-light solution to hydrogen logistics for aviation through its modular capsule technology. 

These capsules can be filled with gaseous and liquid hydrogen and are delivered from the point of production directly to the aircraft using existing freight networks and cargo handling equipment. 

Universal Hydrogen is also developing a powertrain retrofit kit to enable regional passenger and cargo airplanes to be converted to fly on hydrogen. The first test flight of Universal Hydrogen's technology is anticipated in 2022, with revenue services planned for 2025. 

FFI will take the lead on green hydrogen production activities and supply to the identified markets or green H2 Hubs, and Universal Hydrogen will take the lead on delivery logistics to airports and on-airport fuel services. 

Both FFI and Universal Hydrogen will work together to identify and develop green hydrogen customer demand in the aviation industry.