Fortescue continues its green industry push

The third quarter performance of miner and green industry developer Fortescue Metals shows a continued push to develop a green industry business stream alongside its traditional Western Australian mining assets.

The company reported iron ore shipments of 46.3 million tonnes (mt) in Q3 FY23, creating a record for shipments for the nine months to 31 March 2023 of 143.1mt.

During the quarter construction works completed on stage one at Fortescue Future Industries’ (FFI) electrolyser manufacturing facility in Gladstone, Queensland.

Stage one is the $114 million electrolyser facility, which will be expanded as current demand indications crystalise, according to FFI.

Further fit out of the facility, including the automated production line and testing facilities, will commence soon.

“The GEM has several growth stages already planned into its factory footprint which includes green manufacturing technology such as cables, batteries, wind turbines and solar panels.”

The company also reported continued progress on FFI’s priority projects in the USA, Australia, Brazil, Kenya and Norway, as well as on decarbonising its internal operations.

Fortescue Metals Chief Executive Officer Fiona Hick said: “Fortescue continues to advance its decarbonisation plan as we work towards eliminating emissions from our iron ore operations by 2030.

“Together with our strong balance sheet and focus on investing in growth, we are well placed to advance our transition to a global green metals and energy company and ensure all stakeholders continue to benefit from Fortescue’s success.”

FFI told investors the company had:

• Advanced the Norwegian Holmaneset Project, completing a location scoping study and commencing a Zoning Plan process, providing the potential for the development of a 300MW green hydrogen and green ammonia facility. Renewable power was secured by entering a long-term Power Purchase Agreement with Statkraft.
• Signed an Investment Support and Implementation Agreement with the Government of Kenya, which outlines a commercial framework for the potential development of a 300MW green ammonia and fertiliser facility, including government support for the critical resources, infrastructure and offtake.

The company is also moving towards a decision on its project with fertiliser and chemicals group Incitec Pivot which is investigating green hydrogen and ammonia production at Gibson Island, Brisbane (pictured).

The project would use 500 megawatts of energy to make 70,000 tonnes of hydrogen a year.

The Gibson Island plant has been unable to secure long term supplies of gas domestically at a reasonable price.

Picture: FFI and Incitec Pivot are investigating green hydrogen and ammonia production at Gibson Island, Brisbane