Amp Energy has extended its Strategic Framework Agreement with Iron Road Ltd for the Cape Hardy Green Hydrogen project for three months.
The extension is anticipated to provide sufficient time for the finalisation and execution of Transaction Documents related to the next project phase.
The Cape Hardy Green Hydrogen project is a two-stage development, with Stage I delivering over 5 million tonnes of green ammonia annually and the initial phase containing 1 GW of capacity. The capacity of the project is set to be doubled in its second stage to 10 GW.
Amp and Iron Road have discussed expanding the Cape Hardy Green Hydrogen project to include an industrial manufacturing precinct focused on the green hydrogen & minerals value chain. They have completed preliminary Master Planning for the precinct, which includes electrolyser supply, water desalination, ammonia plant, and ancillaries, pending commercial arrangements and development partner consortium formation.
Under the Strategic Framework Agreement, the Cape Hardy Green Hydrogen project has been reviewed by two global engineering firms and is entering the Pre-Front-End Engineering Design stage. Amp is in discussions with Eyre Peninsula landowners, energy developers, and transmission network specialists to secure renewable energy supply and reduce ammonia costs.
The Eyre Peninsula project is receiving strong interest and unanimous support from export and domestic offtake partners, financiers, and local councils. The Pre-Feasibility stage indicates an unsubsidised levelised cost of hydrogen of approximately US$3/kg-H2, equivalent to a mid US$600/tonne levelised cost of green ammonia. This costing is subject to ongoing design and economic optimisation.
Amp has appointed Thyl Kint as Project Director to oversee the Cape Hardy Green Hydrogen project’s downstream delivery. Thyl has 40 years of global experience, having managed over $AUD 20 billion in energy project capital expenditure on behalf of major corporations such as BHP Petroleum, BP, BW Offshore, Kerr McGee, Santos, Shell, and the IFC (part of the World Bank).
“We have seen a flight to quality from global strategic partners who are looking to partner with projects of scale. We believe the Cape Hardy Green project is strategically well positioned as one of Australia’s flagship hydrogen projects,” Amp President and founder Paul Ezekiel said.
SA Minister for Energy and Mining Tom Koutsantonis commented, “The strong progress achieved by the Cape Hardy Green project reflects the momentum of South Australia’s emerging hydrogen industry. In addition to creating thousands of jobs for South Australians, projects like this facility at Cape Hardy contribute to our government’s net zero goals and strengthen the state’s economy. Renewable hydrogen has an important role to play as the world transitions to a decarbonised future and positioned to capitalise on this opportunity.”
