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bp welcomes federal funding for green hydrogen hub at Kwinana, Western Australia

4/19/2022

bp welcomes today’s announcement by the Australian Government for up to (AUD) $70 million of funding for a green hydrogen hub at bp’s Kwinana site in Western Australia.

The hydrogen hub, which is being developed in partnership with Macquarie Group, brings together a unique combination of existing infrastructure, concentrated industrial demand, and strong connections to one of Australia’s largest industrial hubs.

The hub will include installation of an electrolyser of at least 75 MW, hydrogen storage, compression and truck loading facilities, and upgrades to bp’s existing on-site hydrogen pipeline. The hydrogen produced will support domestic and export demand including hydrogen supply for bp’s renewable fuels production, ammonia, metals and minerals processing, on-site gas blending and hydrogen for heavy duty transport.

Frédéric Baudry, president, bp Australia and SVP fuels & low carbon solutions, Asia Pacific, said: “We are delighted by this announcement and would like to thank and acknowledge the Federal and Western Australian Governments for their strong support of our plans to develop Kwinana and help activate a regional hydrogen industry.

“bp's Kwinana hydrogen hub is further demonstration of our progress to becoming a net zero company and helping the world get there too. We believe hydrogen will play a central role in the decarbonisation of Australia’s hard-to-abate sectors – particularly heavy industry, mining and transport – and we have the experience, expertise and commercial partnerships to make that happen.”

bp will soon release the outcomes of a feasibility study into the production of green hydrogen at the site, which it has been undertaking in partnership with Macquarie Group and with funding from the Western Australian Government.

The project is part of bp’s broader plans to develop its Kwinana site as an integrated energy hub that produces and distributes fuel for the future. bp is underway with plans to develop a renewable fuels plant at the site, producing sustainable aviation fuel and renewable diesel.