Xodus architecting 1-GW green hydrogen project in Australia
Global energy consultancy Xodus is architecting a new green hydrogen project based in the Mid-West region of Western Australia which will scale up to 1 GW of electrolyser capacity, it said on December 1.
MercurHy is an export scale project which aims to supply green hydrogen whilst leveraging economies of scale, particularly regarding the supply and purchase of renewable energy, the company said. Investor engagement is underway as the company targets equity funding for the project from experienced capital and infrastructure partners interested in commercial green hydrogen progressing.
The project provides for a total electrolyser capacity of 1 GW being installed over three phases: 150MW in Phase 1; 500MW in Phase 2; and 1,000MW by the end of Phase 3.
“The intent behind scaling the project in this way is two-fold, initially to allow the market for green hydrogen sufficient time to develop and then to capitalise on future electrolyser price reductions,” Xodus said.
Xodus said it continues to progress the commercial strategy for the project, having entered into a memorandum of understanding for hydrogen supply with ASX-listed VRX Silica, a company with silica sand projects in Western Australia and plans for the manufacture of solar panels locally to supply national and international demand. Xodus has also advanced discussions with other potential offtakers and has the support of local landowners and the Western Australian government.
“It’s an exciting project. We have led it from its infancy and have attracted partners to achieve joint success. With the expertise and knowledge to be architects of this opportunity, our aim is to have an active role in energy transition with the high quality, low carbon, economically viable projects that Australia and the world desperately needs,” Stephen Swindell, managing director at Xodus said.