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Queensland-owned Stanwell Corporation has announced a landmark partnership with Japan’s largest hydrogen supplier to progress green hydrogen production and export from Central Queensland.

Stanwell chief executive officer Richard Van Breda said the Stanwell-Iwatani Corporation consortium would build commercial and government partnerships to enable the project to move towards a bankable feasibility study and front end engineering design.

“Stanwell welcomes the opportunity to continue working with Iwatani on the development of a large-scale hydrogen industry in Central Queensland, with the view of exporting hydrogen to Japan.”

Mr Van Breda said Stanwell and Iwatani had recently completed a concept study which identified that Central Queensland had the natural competitive advantages to be a world leader in exporting hydrogen.

“The region has high quality renewable energy resources, available land and water, port infrastructure, and is in close proximity to key export markets,” he said.

“While our concept study showed there is still a way to go for hydrogen to be commercial, collaborating with key partners such as Iwatani will help to drive down the cost of hydrogen technologies, and support the development of the industry.”

Mr Van Breda said the development of a large-scale hydrogen industry would support electricity security and reliability and help underpin renewable energy integration and investment in Central Queensland.

“Stanwell is exploring opportunities to evolve in response to a changing energy market including facilitating the development of a Central Queensland hydrogen industry,” Mr Van Breda said.

“Large-scale hydrogen production would introduce new load into the region which would ease pressure on the electricity network and support the growth of renewables in the Central Queensland region.”

Newly-appointed Queensland Minister for Renewables and Hydrogen Mick de Brenni said the partnership with Iwatani was evidence of Queensland’s commitment to rapidly developing its potential as a green hydrogen exporter.

“The Premier has given me a mandate to do everything we can to grow this industry, and put Queensland workers front and centre in this,” he said. 

“We’ll continue to partner with the world’s leading energy companies, including our own, to develop this exciting new industry in Queensland.”

Stanwell runs a number of generating assets including the Stanwell Power Station in Rockhampton and Tarong North Power Station in the South Burnett region

It received ARENA funding to conduct a feasibility study into a 10 MW hydrogen demonstration plant at Stanwell Power Station.

The purchase of energy from renewable energy projects in the region to deliver a carbon-neutral hydrogen product was a critical component of the study.