Sumitomo Corporation, a Japanese trading company and JGC Holdings Corporation, a Japanese engineering company, plans to build a green hydrogen plant in Gladstone, Australia.
JGC has signed a Front End Engineering and Design (FEED) contract for the plant which will produce green hydrogen by using solar energy to power the water electrolysis plant. Sumitomo plan is to build a small plant first to produce around 250-300 tonnes/year green hydrogen and then scale up production later.
Gladstone, located in Queensland, is under the spotlight for hydrogen-related projects due to its ideal demand and supply conditions. The city has potential for decarbonisation due to its current industrial infrastructure, which can support hydrogen demand. It also has rich solar radiation supported by long daylight which is ideal for green hydrogen production plants.
Meanwhile, Sumitomo has also started a feasibility study with an Omani oil and gas producer, ARA Petroleum LLC to develop a blue hydrogen production plant in Oman in January 2021. Sumitomo signed an MoU with ARA in March 2020 and has been engaged in the project since then. The plan is to produce hydrogen from fossil gases using the steam reforming method at the ARA oil and gas site. The plant will have a production capacity of 300 to 400 tonnes/year and is set to commence operation by 2023.
As a hybrid project, the plant will be powered from a 20 MW solar power plant installed as a part of the project. The CO2 emission from the steam reforming method will be captured and supplied for local industrial consumption. Sumitomo is contemplating to use this project as a model for future projects in Oman and elsewhere.