One of Australia’s largest renewable hydrogen plants will be built in the Pilbara, with ENGIE and Yara Pilbara Fertiliser (Yara) announcing a positive final investment decision for the Yuri Project.
Hydrogen Industry Minister Alannah MacTiernan welcomed the announcement – at an event held today at Yara’s facility on Murujuga, near Dampier – and noted support for the project from the Federal and State Governments.
In collaboration with Yara, ENGIE will develop the new plant to supply renewable hydrogen and electricity to Yara’s nearby liquid ammonia facility.
ENGIE has also executed an agreement with Mitsui & Co (MITSUI), pursuant to which MITSUI has agreed to acquire a 28 per cent stake in the joint venture company for the Yuri Project, subject to the satisfaction of certain conditions under the agreement. ENGIE and MITSUI intend to operate the Yuri Project through this joint venture company.
Yara’s facility will be one of the first established operational facilities in the world to receive and use green hydrogen molecules to produce green ammonia.
While this will only be a nominal percentage of total production in this phase, future phases could see an increasing percentage of ammonia being decarbonised.
The green ammonia produced by Yara at its Pilbara facility will be exported around the world.
Ammonia is a chemical commonly used to produce agricultural fertilisers.
The Yuri Project will include a 10-megawatt electrolyser, 18-megawatts of solar photovoltaics, and an 8-megawatt battery storage system.
The project will be one of Australia’s largest electrolysers when completed, capable of producing up to 640 tonnes of renewable hydrogen each year.
A consortium of Technip Energies and Monford Group has been awarded the engineering, procurement, construction, and commissioning contract for the renewable hydrogen plant.
The potential of the Yuri Project has been recognised by the Federal Government through the Australian Renewable Energy Agency (ARENA) and the Western Australian Government.
Nearly two years ago the WA Government awarded a $2 million grant to the project through its Renewable Hydrogen Fund, to build early support.
Just over four months later in May 2021, ARENA announced it had conditionally approved a $47.5 million grant as part of its Renewable Hydrogen Deployment Funding Round.
The WA Government has committed $160 million to support the development of the renewable hydrogen industry in WA, and is on track to meet the 2022 goals set out in the WA Renewable Hydrogen Strategy.
As stated by Hydrogen Industry Minister Alannah MacTiernan:
“Today’s announcement from ENGIE and Yara Pilbara Fertilisers that they have reached a positive final investment decision for the Yuri Project is an important milestone for WA’s growing renewable hydrogen industry.
“Yara Pilbara Fertilisers is a world-scale facility, and the project will demonstrate WA’s ability to produce renewable hydrogen on an industrial scale.
“The Yuri Project is a real example of how renewable hydrogen can be harnessed to reduce the emissions of carbon intensive sectors, and across global economies.”
As stated by Pilbara MLA Kevin Michel:
“I have been working with Yara for a very long time to get this project up and running.
“This is an important milestone for the Yuri Project, kick-starting a new renewable hydrogen industry on the Burrup.
“The McGowan Government is committed to diversifying the Pilbara economy and creating local jobs, and this emerging industry will offer a big boost to our region.”
“Thanks to Yara, ENGIE, Minister MacTiernan and the McGowan Government for all their support and help in getting this project on board.”
