Orica and H2U team up for Gladstone green ammonia

Chemicals and explosives group Orica and H2U Group have announced a strategic partnership to initiate the first phase of the proposed H2-Hub Gladstone green ammonia project in Queensland.

The project has the potential to create 140 operational jobs and approximately 1,900 indirect jobs, and attract a $4.7 billion investment during its phased construction..

Orica said the project would support a steady transition to renewable energy in Central Queensland and provide the region with the opportunity to capitalise on the developing global green ammonia industry, which is forecast to exceed $50 billion by 2030.

The two companies will explore opportunities for an exclusive domestic green ammonia offtake and supply agreement which would see green ammonia supplied to Orica’s Yarwun manufacturing plant (pictured) from H2U’s proposed Yarwun green ammonia production plant.

Orica and H2U will also study a potential green ammonia export terminal at the Port of Gladstone, leveraging the existing Orica ammonia storage capacity at the Fisherman’s Landing Wharf and the associated connecting infrastructure in the Gladstone State Development Area to facilitate large scale exports.

A master plan study will run for approximately six months with front-end engineering and development approval activities scheduled to commence at the back end of 2022.

The financial investment decision for the activation phase of development is scheduled by 30 June 2023. With the H2-Hub Gladstone scheduled for operation to begin in 2025, with the latter expansion phase to take place between 2027-2030.

Picture: Orica Yarwun Manufacturing Facility

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