Infinite Green Energy (IGE) has entered into a Memorandum of Understanding (MOU) with Samsung C&T to develop and build the Arrowsmith Hydrogen Plant, to meet domestic hydrogen demand in Western Australia.

Located 30km south of Dongara, the wind and solar-powered plant is forecast to produce up to 300t of green hydrogen per day, or 100,000t per year.

The primary focus of the project is delivering the subsea pipeline and offshore loading facility by early 2028 and production planned to commence the same year The project will also include a truck-offloading terminal, enabling IGE to supply local back-to-base operations with future expansion to form its Zero Emissions Highway.

The Arrowsmith Hydrogen design includes 700MW of electrolysers, 750MW of solar PV, 1,550MW of wind turbines and 240MW of batteries. IGE anticipates Arrowsmith connection to the South West Interconnected System (SWIS) from Eneabba South to Arrowsmith, where the grid can be extended to Geraldton and subsequently Oakajee.

Subsequent expansions are being considered with Samsung C&T delivering 7GW of renewable energy out of Arrowsmith including 2,100MW of electrolysers.

Western Australian Hydrogen Industry Minister, Roger Cook, welcomed this development which sees Western Australia progress as a significant producer, exporter and user of this emerging renewable energy source.

“Partnerships like these are vital to the delivery of the 2030 vision under the Western Australian Renewable Hydrogen Strategy and future opportunities that come with it,” Mr Cook said.

“With the crucial need to diversify and decarbonise here and around the world, the McGowan Government is committed to the renewable hydrogen sector to help reduce emissions to achieve net zero greenhouse emissions.”

Managing Director and CEO of Infinite Green Energy, Stephen Gauld, said partnering with Samsung C&T to progress the flagship Arrowsmith project was an important step that continues to strengthen the confidence of all IGE stakeholders,

“The announcement builds on the partnership we announced with Samsung C&T earlier this year for the development of our Northam MEG HP1 Project, which has established a strong foundation for our relationship,” Mr Gauld said.

“Through this agreement, Samsung C&T will provide additional resources focussed on delivering green hydrogen for export and domestic customers from our Arrowsmith facility. Our partnership highlights IGE’s commitment not just to fight climate change, but also to see the Western Australia economy and our local communities benefit from green energy production.”

Infinite Green Energy Chairman, Peter Coleman, warmly welcomed the partnership with Samsung C&T.

“We are very pleased to welcome Samsung C&T as a key partner in our world leading Arrowsmith Project. Samsung C&T bring knowledge, skills and relationships that will be critical to the successful development of Arrowsmith,” Mr Coleman said.

Samsung C&T President and CEO of E&C Group, Sechul Oh, said participation in this project aligns strongly with the values and vision of Samsung.

“We are committed to fast tracking the energy transition, creating opportunities for people and businesses. Production of green hydrogen is a key component of that story,” Mr Oh said.

IGE is aiming to be Australia’s first zero carbon commercial Hydrogen producer. IGE initiated the project in 2019, targeting the domestic Western Australian market delivering up to 42 tpd, however in 2021 IGE completed the export terminal design concept including the subsea pipeline for cryogenic gas.

IGE is also progressing the Northam MEG HP1, another renewable hydrogen project in development with Samsung C&T.

Feature image (L to R): Stephen Gauld CEO and Managing Director of Infinite Green Energy, Hon Roger Cook MLA Deputy Premier; Minister for State Development, Jobs and Trade; Hydrogen Industry; Tourism; Science, Mr Sechul Oh Samsung C&T President and CEO of E&C Group. Provided by: Oh Samsung C&T.

Infinite Green Energy, an Australian green hydrogen company, plans to raise AUD $120m to AUD $150m (USD 102.3m) via an initial public offering (IPO) in 2H23, CEO Stephen Gauld said.

The Perth-based company, which is developing renewable hydrogen projects and was previously known as Infinite Blue Energy, is currently owned by high net-worth individuals and some institutional investors, he noted. The CEO would not comment on which bourse the company plans to list on yet, or how much of a stake will be floated in the IPO.

The company initially planned to IPO in the later part of 2022, but the market was not right then, Gauld said, adding that the company was also advancing its partnership with Samsung C&T [KRX:028260].

Infinite Green Energy announced last week that it has entered a binding memorandum of understanding (MoU) with Samsung C&T to develop and build the MEG HP1 hydrogen plant in Western Australia (WA). The Samsung deal will fund part of Stage 1 of the project, which is expected to cost AUD $110m, Gauld said.

The company was in no rush to start the IPO process as it has been organically progressing its flagship Arrowsmith hydrogen project near Dongara, WA over the past year, he said. It also acquired Northam Solar Farm earlier this month and will take advantage of the existing power purchase agreement (PPA), with existing contracts bringing instant revenue to the company and adding further value to the company’s planned IPO, he said.

“The more that we progress at Arrowsmith and Northam, get the offtakes done and the strategic partners, it just adds so much more value to the company,” Gauld said.

Prior to the IPO, the company is currently raising AUD $3m to provide AUD $0.5m to cover the IPO cost, with the rest of the proceeds to fund further work at Arrowsmith, design at Northam and working capital, he said.

Chloé Argyle of éthica capital, who is managing the capital raising, said that the company is looking to issue $1.5m new ordinary shares at AUD 2, with oversubscriptions at its discretion.

The AUD $3m capital raising would give the company an indicative pre-money value of AUD $314.5m, according to Argyle.

Separately, the company is now running a tendering process to pick a financial advisor for the debt and equity funding for its Northam Solar and Arrowsmith Green Hydrogen projects, Gauld said, without elaborating on the potential deal size.

New Zealand, Italian projects Infinite Green Energy also intends to raise further capital this year for its green hydrogen projects in Italy and New Zealand, Gauld said. It has been developing the Valle Peligna Green Hydrogen Project in central Italy and it also has a project at the Port of Taranaki in New Zealand.

The company is already in discussions with potential equity partners at these projects, he said. Potential equity partners for these projects are expected to come from countries that are traditional buyers of global LNG, he said.

It expects to retain around 30% or 40% in both its New Zealand and Italian green hydrogen projects, with the rest to be owned by equity partners, Gauld said.

by James Arbuthnott in Sydney

Western Australian clean energy developer Infinite Green Energy will partner with South Korean industrial conglomerate Samsung C&T to develop and build a commercial-scale green hydrogen project that will leverage the existing 11 MW Northam Solar Farm east of Perth.

Perth-based Infinite Green Energy (IGE) announced it has entered into a binding memorandum of understanding (MOU) with key joint development agreement terms with Samsung C&T, to jointly develop and build the MEG HP1 green hydrogen plant.

The agreement sees Samsung take a stake of undisclosed size for an undisclosed sum in the solar-powered green hydrogen project being developed by IGE near Northam about 100 kilometres east of Perth in WA’s Wheatbelt region.

The MEG HP1 project will build on the existing 11 MW Northam Solar Farm, with the addition of a 10 MW hydrogen electrolyser and battery energy storage.

Once fully operational, the facility is expected to produce up to four tonnes of renewable hydrogen a day for medium and heavy-duty transport use by early 2024. IGE said the scope is there to expand the solar facility to 18 MW, potentially doubling the site’s production capacity to 8 tonnes of green hydrogen daily.

Samsung Vice President Andrew Ahn said participation in the project aligns strongly with the values and vision of the South Korean company which is seeking to grow its renewable energy portfolio globally.

“We are committed to fast tracking the energy transition, creating opportunities for people and businesses,” he said. “Production of green hydrogen is a key component of that story.”

IGE CEO Stephen Gauld and Samsung Vice President Andrew Ahn
Image: Infinite Green Energy

IGE Chief Executive Officer Stephen Gauld said the partnership with Samsung brings “so much credibility to our company, shareholders, strategic partners, and buyers of our future fuel.”

“Samsung already committed resources from its headquarters in South Korea, Dubai and Australia to deliver this project and resources are now working in the IGE office here in Perth,” he said.

Gauld said the front-end engineering and design (FEED) has been completed for the project and a final investment decision is expected to be made later in 2023 with IGE planning to submit the development approval in “the next few weeks.”

The MEG HP1 project appears to be a warm-up of sorts for IGE which is also progressing plans to develop its Arrowsmith hydrogen plant, which it says will produce up to 25 tonnes of green hydrogen daily.

To be developed near the town of Dongara, about 320 km north of Perth, IGE says the first stage of the project would incorporate 65 MW of solar and 90 MW of wind to produce an initial 23 tonnes of green hydrogen a day from 2025.

Arrowsmith also has expansion options to deliver 5 GW of renewable energy and more than 300 tonnes of green hydrogen per day.

Credit: David Carroll | pv-magazine-australia.com

Australia’s first commercial-scale green hydrogen project is planned to commence production in the last quarter of 2024, after Infinite Green Energy (IGE) completed the acquisition of Perth’s Northam Solar Farm and signed its first offtake contract this week.

The completion of the $8million Northam deal, funded by debt and investor capital, will allow IGE to leverage the 11MW solar farm to produce four tonnes a day of renewable hydrogen via electrolysis.

The hydrogen output will initially power Fuel Cell Electric Vehicle (FCEV) truck fleets for several key back to base customers, with the first binding supply agreement, signed yesterday (1/2/23) with a Western Australian waste to energy refuge collection company.

Infinite Green Energy, chaired by former Woodside CEO Peter Coleman, will immediately commence a $3million capital raising to fund production capacity of the Northam project (MEG HP1) and the pathway towards planned production of the company’s flagship, 23 tonne/day Arrowsmith project.

Mr Coleman said the strategic acquisition of the Northam Solar Farm and capital raising would allow IGE to progress the Northam project to final investment decision. The company plans to expand the Northam Solar Farm capacity to 18MW and connect a 10MW electrolyser for green hydrogen production in the second half of 2024.

In the meantime, he said, IGE would benefit from the Northam asset’s existing Power Purchase Agreement (PPA), which delivered immediate revenue to shareholders.

“The Northam Solar Farm was acquired through a competitive tender process for $8million with today’s replacement cost of the asset being $18million,” Mr Coleman said.

“With the security of a PPA in place, our clear path to initial production in 2024 will demonstrate the plant and help to initiate a market for green hydrogen in the commercial mobility sector in Western Australia.

“This completed acquisition of Northam will see the business producing at scale in an Australian first and cement IGE as the first and biggest commercial producer of green hydrogen.”

IGE founder and CEO Stephen Gauld said the business would promote the hydrogen ecosystem in Western Australia by supplying contracted customers and local fuel stations with green hydrogen, which was expected to facilitate FCEV demand in the local transport industry.

“We have our first contracted customer and six MOUs from other transport companies in Western Australia,” Mr Gauld said.
Chloé Argyle of éthica capital to manage the capital raising, which is reserved for sophisticated investors.

Ms Argyle said the company’s offer aimed to raise $3million, with oversubscriptions at its discretion, via the issue of 1.5million new ordinary shares at AUD$2.

-ends-

News photographs of Mr Coleman and Mr Gauld at the Northam Solar Farm are available on request.

Media enquiries: éthica Capital

A green hydrogen project that promises to be one of the first in Australia to produce the renewable fuel at a commercial scale has signed up its first offtake partner and is on track to begin operations at the end of 2024.

Infinite Green Energy says its plans to use the 11MW Northam solar farm, east of Perth, to produce up to four tonnes a day of renewable hydrogen via electrolysis are powering ahead after the company completed its acquisition of the PV project this week.

The Perth-based company behind the massive Arrowsmith renewable hydrogen project – also proposed for WA – bought the Northam solar farm from joint owners Indigenous Business Australia and Bookitja, a part of Noongar Property Holdings.

IGE says the completion of the $8 million Northam deal, funded by debt and investor capital, will be followed up immediately with a $3 million capital raising, to fund production capacity of the hydrogen project, dubbed MEG HP1.

The company, chaired by former Woodside CEO Peter Coleman, says the capital raising will allow it to progress the Northam project to final investment decision, including plans to expand the solar farm’s capacity to 18MW and connect a 10MW electrolyser.

The capital raising, via the issue of 1.5 million new ordinary shares at $A2, will also help progress the pathway towards planned production of the company’s flagship, 23 tonne/day Arrowsmith project.

IGE says the Northam project’s hydrogen output will initially power fuel cell electric vehicle (FCEV) truck fleets for several key “back to base” customers, with the first binding supply agreement signed on Wednesday with a local WA waste to energy refuge collection company.

“We have our first contracted customer and six MOUs from other transport companies in Western Australia,” said the company’s founding CEO Stephen Gauld, on Thursday.

Gauld says IGE will promote the hydrogen ecosystem in WA by supplying contracted customers and local fuel stations with green hydrogen, which is expected to drive fuel cell vehicle demand in the local heavy transport industry.

In the meantime, IGE will draw revenue from Northam solar farm’s existing power purchase agreement (PPA), a deal to supply PepsiCo Australia with green power via French renewables giant, Engie – sealed in December 2021.

Western Australian renewable hydrogen company Infinite Green Energy (IGE, formerly Infinite Blue Energy) is progressing a Northam green hydrogen plant.

Hydrogen Industry Minister Alannah MacTiernan has welcomed another positive step forward for renewable hydrogen in WA, with Infinite Green Energy’s purchase of the Northam solar farm.

The 10MW solar farm will become part of Infinite Green Energy’s MEG HP1 project, which aims to produce up to 4.4 tonnes per day of renewable hydrogen from a Northam plant for use in the heavy transport sector.

Transport is one of four strategic focus areas outlined in the Western Australian Renewable Hydrogen Strategy, which identifies commercial vehicles as an early opportunity to harness hydrogen energy for mobility and freight transport.

The McGowan Government has committed $160 million to support renewable hydrogen development in WA.

Comments attributed to Hydrogen Industry Minister Alannah MacTiernan:

“We see enormous potential for locally-generated renewable hydrogen to replace diesel in our heavy transport sector, helping to reduce carbon emissions and improving our fuel security.

“Indeed transport fuel probably offers one of the earliest opportunities for the emerging renewable hydrogen industry.

“Infinite Green Energy’s MEG HP1 project is yet another positive step forward for renewable hydrogen in WA, and will play an important role in helping to stimulate early demand for hydrogen.”

Media contact of Hydrogen Industry Minister Alannah MacTiernan: Mark Scott 0437 170 385 or 6552 6200