Port of Newcastle and Macquarie’s Green Investment Group have launched a $A3 MM feasibility study into the development of a green hydrogen hub at the Port that includes the backing of a $A1.5 MM funding grant from ARENA, secured under its Advancing Renewables Program. The hub, called the Port of Newcastle Hydrogen Hub, will initially be underpinned by a 40 MW electrolyzer that over time would increase to a capacity of over 1 GW. 

The feasibility study into the initial 40 MW hub will determine a broad and comprehensive range of potential use cases for green hydrogen in the Hunter which build on the region’s strong industrial heritage. These include mobility, bunkering, energy production and industrial uses at the scale necessary to position the Hunter at the center of the emerging global green hydrogen opportunity. Developing these use cases would support the creation of local jobs during construction and operations, the development of new industries and contribute to Australia’s long-term economic and energy security.  

The study will also assess the suitability of an optimal site within the Port which, given its large size and existing infrastructure, has a range of options for developing and scaling-up hydrogen and ammonia infrastructure that can successfully link into existing East Coast supply chains.

Port of Newcastle and Macquarie’s Green Investment Group have also signed MOU with Idemitsu, Keolis Downer, Lake Macquarie City Council, Snowy Hydro and Jemena, all of whom will participate in the feasibility study. Macquarie’s agriculture platform, which manages more than 4.5 MM hectares of farmland across Australia, will also participate in the feasibility study, focusing on green ammonia for fertilizer production. These partnerships represent key industries in the Hunter Region including agriculture, mobility, export and bunkering, energy generation and transport. An MOU has also been signed with the University of Newcastle as the project’s R&D partner.

Port of Newcastle Chair, Professor Roy Green, said a green hydrogen hub in the Hunter, underpinned by a 40 MW electrolyzer, would support the development of new industries in the region and contribute to Australia’s long-term economic and energy security, as well as creating local jobs during construction and operations.  

"We are delighted that ARENA has decided to partner with us for this important feasibility study into the Port of Newcastle Hydrogen Hub Project. We thank them for recognizing Port of Newcastle’s capabilities for this important regional development opportunity," said Port of Newcastle CEO Craig Carmody.

It makes sense for the Port of Newcastle to play a substantial role in Australia’s bid to become a significant renewable exporter. With our existing access to global energy supply chains, world-class infrastructure, strong industry partnerships, proximity to the existing demand, links to domestic road and rail networks, a local highly skilled workforce and proximity to renewable energy zones, Port of Newcastle is well placed to develop a hydrogen hub and export hydrogen as a tradable energy commodity.

"By partnering with Macquarie’s Green Investment Group to develop the Port of Newcastle Hydrogen Hub Project, we are tapping into the expertise of a world-leading renewables developer, investor and financier. Our partnership brings together local knowledge and international experience to support the diversification of the Port, so that the Hunter continues to be an engine of economic growth for the region and New South Wales."

The Port of Newcastle Hydrogen Project will support the Federal and NSW governments’ ambitions to produce and export the cheapest clean hydrogen in the world. It will focus on the production of green hydrogen for domestic and export use, incorporating a green ammonia plant, green hydrogen plant and grid-connected energy solution that will support the regions abundant renewable resource.

"We are committed to future diversification at Port of Newcastle, and this is a significant vote of confidence in our future ambitions to identify and embrace step-change opportunities to create thousands of low-carbon jobs in a new export industry, contribute to the Hunter, NSW and Australian economy, support local industries and customers, and ensure a stronger Port for the future," said Carmody. "This project is part of our commitment to providing Hunter industries with more environmentally sustainable export pathways to global markets."

"This project has the potential to create thousands of low-carbon jobs in a new export industry for the Port, the Hunter, NSW and Australia. Not only does it support our diversification plans here at the Port, but also our commitment to clean energy diversification, renewables projects and further opportunities to support local jobs and more environmentally sustainable export pathways to global markets."