Proposed Cape Hardy Green Hydrogen Project marks new major milestone

Amp Energy has been appointed as lead developer by Iron Road Limited to deliver the Cape Hardy Green Hydrogen Project in South Australia following a three-month competitive offer-to-bod process. 

The South Australian Government also welcomes the news of progress on this jobs-creating project. 

“This project complements my Government’s commitment to hydrogen, through the Hydrogen Jobs Plan. 

“The Hydrogen opportunity will be transformative for the South Australian economy, delivering energy security – while helping the State decarbonise,” Premier Peter Malinauskas said. 

Amp Energy will be developing and building approximately 5GW of electrolyser capacity over the next 10 years in the Cape Hardy precinct. The project is expected to deliver more than 5 million tonnes per annum (Mtpa) of green ammonia, helping establish South Australia as a global leader in green hydrogen and ammonia production. 

The concept design developed by Amp Energy for the 5GW electrolyser and associated green hydrogen and ammonia production facility at Cape Hardy is “viewed as a marquee site for Amp’s hydrogen projects globally”. 

“We are delighted to be working exclusively with Amp for the next nine months, and beyond, on a green energy production and export development opportunity of national significance. This important milestone further validates Cape Hardy as South Australia’s pre-eminent hydrogen export hub of scale. Out competitive offer-to-bod process was carefully designed to screen the most capable and motivated developer looking to prioritise and advance the project quickly and judiciously. 

“We have selected Amp as a single lead developer who we expect will assemble additional consortium partners in collaboration with Iron Road. Amp has been granted appropriate security and tenure to complete early feasibility and master planning work prior to next key development and commercial arrangements being agreed,” Iron Road Limited Chief Executive Officer Larry Ingle said. 

Amp Energy said that it was drawn to the Cape Hardy project because of its strategic geographic location as well as strong support from the State Government. 

The project site has direct access to high voltage power through an existing transmission infrastructure and a deep-water port that will facilitate the transport of hydrogen product. 

“Amp’s background of developing large scale upstream power systems globally positions Amp for the emerging opportunity of green hydrogen and provides industrial synergies. Amp’s development of strategically located, transmission-connected green hydrogen and ammonia facilities at select locations such as Cape Hardy in South Australia is critical to our continued global growth and long-term strategy,” Amp Energy Co-Founder and Chief Investment Officer Paul Ezekiel said. 

In addition, both the Traditional Owners of the land – the Barngala people – and the Eyre Peninsula landowners already have an established relationship with the project. The Australian Government has also shown its firm support towards the project through a previously announced $25 million investment for further development of port infrastructure that will benefit industries now and into the future. 

“The Upper Spencer Gulf stands to play an important and strategic role in South Australia’s economic future. It’s exciting to see substantial private investment backing the region. 

“I congratulate Amp Energy for its successful bid, as well as Iron Road for achieving this milestone,” Minister Tom Koutsantonis said. 

The Cape Hardy project is located on the east coast of Eyre Peninsula, about seven kilometres south of Port Neill. The project site has a total area of 1,200 hectares of undeveloped coastal land that is wholly owned by Iron Road Limited. Amp Energy’s concept design for the Cape Hardy Green Hydrogen Project will cover about 410 hectares of this parcel of land. 

Amp Energy estimates the project to create up to 4,800 direct and indirect jobs during its construction phase as well as 250 direct and indirect operational jobs – projected to increase to 1,000 jobs once the project is fully operational. 

“This significant investment into the State is testament to our global standing as a leader in the green energy sector. 

“Projects like these will create thousands of jobs and benefit future generations across South Australia. 

“Congratulations to Iron Road and Amp Energy on advancing a key project which forms part of the State’s massive renewable energy pipeline of work,” Minister Nick Champion said. 

Source: Premier of South Australia – Media Releases; Iron Road Limited (1, 2); Amp Energy; PV Magazine Australia; Offshore Energy