From oil to green hydrogen

Fortescue Future Industries (FFI) and Refining NZ are set to look into reconfiguring facilities at Marsden Point oil refinery to produce green hydrogen.

The companies have signed a memorandum of understanding to study the commercial and technical feasibility of producing, storing, distributing and exporting industrial-scale green hydrogen and green hydrogen products.

The site, pictured, is being decommissioned by Refining NZ as it shifts to an import-only fuel terminal.

It means about 65 per cent of the existing site near Whangarei will be available for future growth opportunities after the transition has taken place in April next year.

The location’s existing infrastructure includes a deep-water port, it’s close to large electricity grid connections and has an industrial water supply that FFI will look into repurposing.

It will also complete feasibility studies to assess operational and commercial projections, and establish a timeline for the project.

Dr Andrew Forrest, chairman of FFI, says the announcement is an important step forward in his company’s plans to turn fossil-fuel emitters into zero carbon, green hydrogen producers worldwide.

He adds: “Green hydrogen can provide all sorts of advantages to local and export economies, and is the answer our planet needs now.

“[Its] production at Marsden Point will potentially deliver energy security, good local jobs and the decarbonisation of local heavy industry while reducing emissions for New Zealand.

Naomi James, Refining NZ’s chief executive, says: “The potential of green hydrogen to support New Zealand’s energy transition is huge, so we are delighted FFI has chosen to partner with us.”