Real Energy is developing hydrogen and distribution hubs
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The hydrogen economy continues to make inroads in Australia with Real Energy Corporation (ASX:RLE) forming a joint venture with private company Liberty Hydrogen to develop four manufacturing and distribution hubs on the country’s east coast.
Real’s wholly-owned subsidiary Pure Hydrogen Corporation will hold a 60 per cent stake in the Pure Hydrogen International JV company in return for contributing the two Queensland projects.
Liberty will contribute the project sites at Newcastle, New South Wales, and in southeast Victoria, giving them effective coverage of Australia’s east coast.
“We have focused on four sites that are in close proximity to ports on the east coast of Australia,” Real managing director Scott Brown said.
“Initially we aim to have small pilot plants at these locations to sell hydrogen fuel to local customers but as the market expands we have room to significantly expand production to include exports.”
Building the potential for exports into the hubs is likely to be timely given that Wood Mackenzie APAC Upstream research director Angus Rodger notes that 2021 could see some Japanese and Korean players make meaningful investments in hydrogen.
Additionally, the Australian Renewable Agency has forecast that Australian hydrogen exports could contribute $1.7bn and 2,800 jobs to the country’s economy by 2030.
The agreement also follows on Real’s memorandum of understanding with US-based HYZON Motors earlier this month on providing hydrogen solutions to end users – likely fleet customers.
Meanwhile, Global Energy Ventures (ASX:GEV) may have a potential customer for its proposed compressed hydrogen ship after signing a memorandum of understanding with Pacific Hydro Australia Developments.
Under the MoU, the two companies will explore opportunities regarding the production, storage, loading, ground and marine transportation of green hydrogen produced by Pacific Hydro’s Ord Hydrogen project.
Both companies will work collaboratively on developing an export market and associated marine transport solution for green hydrogen using GEV’s new vessel and supply chain.
A feasibility study has already been completed into the use of electricity generated by the 30 megawatt Ord Hydro Plant to produce green hydrogen via electrolysis and market offtake to domestic and future export markets.