ENGIE and POSCO Holdings have inked an agreement for a green hydrogen project in the Pilbara region of Western Australia. The project will provide green hydrogen to POSCO’s Hot Briquetted Iron (HBI) plant in Port Hedland. The aim is to decarbonize POSCO’s assets and potentially supply green fuel to South Korea.
This pre-feasibility study will bolster the development plans for renewable energy sites in the Pilbara. It includes wind and solar energy, a hydrogen electrolyzer, large-scale storage, and a hydrogen pipeline. Rik De Buyserie, ENGIE Australia & New Zealand CEO, emphasizes that developing green hydrogen to reduce heavy manufacturing emissions is vital for sustainability goals.
Moreover, Australia serves as a growing market for ENGIE’s hydrogen initiatives. The study seeks to pave the way for another significant hydrogen project in the Pilbara, contributing to net-zero goals.
What’s more, POSCO Holdings plans to use green hydrogen in its iron and steel production processes, enhancing green steel production. Thus, achieving carbon neutrality by 2050.
Besides, through the HBI plant, Western Australia can add value by transitioning iron ore to green iron before export. This will significantly reduce global emissions.
The study will also support the creation of inland renewable energy sites. This will include the use of wind and solar energy, a hydrogen electrolyzer, large-scale storage, and a hydrogen pipeline. The study’s completion is expected in early 2024.
Lastly, Bill Johnston, Hydrogen Minister, commends Western Australia’s commitment to clean energy in the resources sector. He sees this study as a significant step towards a cleaner energy future. This aligns with the Green Steel Opportunity report’s findings. They illustrate how WA’s iron ore can contribute to reducing emissions in steelmaking. If achieved, this would make WA a major player in the green industry. The current steel manufacturing process accounts for over 7% of global carbon emissions.
Source: H2 View
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