Gibson Island hydrogen plan ‘technically feasible’

Plans to develop industrial-scale green ammonia production at Incitec Pivot's Gibson Island facility are technically feasible, preliminary studies show. The project is being carried out in collaboration with Fortescue Future Industries (FFI), who have issued IPL with a notice to proceed to the next phase. IPL managing director and chief executive officer Jeanne Johns. This allows the parties to negotiate an agreement to progress to a Front End Engineering Design (FEED) study. Located in Brisbane, the Gibson Island plant currently uses natural gas as a feedstock to produce ammonia. In October, IPL and FFI announced a partnership to investigate the feasibility of replacing gas with renewable hydrogen to produce industrial scale green ammonia. IPL managing director and chief executive officer Jeanne Johns said the partnership was part of IPL’s ambition to be Net Zero by 2050. “Our world-class ammonia expertise is advancing progress of this exciting project and, working with FFI, we have found it is technically feasible to manufacture green ammonia at an industrial scale at Gibson Island. As an existing brownfield site, this offers many advantages," she said. “The next step is to work towards a joint FEED study which will verify the commercial feasibility of the project, as a step towards a potential Final Investment Decision.” Related: Gas woes see IPL to pull the pin at Gibson Island Pending further approvals, this project could be Australia’s first green ammonia production facility, FFI chief executive officer Julie Shuttleworth said. It would demonstrate how infrastructure can be retrofitted to utilise zero-emissions energy sources. If the project proceeds, it is currently proposed that FFI would construct an on-site water electrolysis plant and develop and operate the hydrogen manufacturing facility, with IPL operating the ammonia manufacturing facility. The new water electrolysis facility would produce up to 50,000 tonnes of renewable hydrogen per year and be a complete replacement of Gibson Island’s current gas feedstock. This renewable hydrogen would then be converted into more than 300,000 tonnes of green ammonia for Australian and export markets. Ms Johns said the project provided the potential to transition Gibson Island to a renewable future, following IPL’s decision to cease manufacturing at the plant at the end of 2022. “Last month we announced an end to manufacturing at Gibson Island in December 2022 after we were unable to secure an affordable long-term gas supply. While it was a difficult and reluctant decision, our partnership with FFI provides the potential for a renewable life for the plant.” The FEED study is expected to be completed by the end of 2022.

Gibson Island hydrogen plan ‘technically feasible’

Industry Queensland

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