BlueScope Steel and Shell have teamed up to develop renewable hydrogen projects in the Illawarra.
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The steel maker announced on Tuesday it had signed a Memorandum of Understanding with Shell to explore and develop renewable hydrogen projects at the Port Kembla Steelworks.
They will work together on two projects.
They will investigate designing, building and operating a pilot-scale 10MW renewable hydrogen electrolyser to explore and test the use of green hydrogen in the blast furnace and demonstrate hydrogen as a pathway towards low emissions steelmaking. And how hydrogen could potentially be used for other purposes.
They will also collaborate with other organisations to develop a "hydrogen hub" in the Illawarra and explore options for hydrogen supply and offtake, renewable energy supply and hydrogen and electricity infrastructure. And examine the logistics infrastructure required for a commercially viable hydrogen supply chain in the region.
BlueScope chief executive Mark Vassella said the diversity of industry, energy, transport infrastructure, minerals and mining, combined with research and academic partnerships, make the Illawarra well-placed for further collaborations to develop hydrogen technology.
"Any future potential hydrogen hub in the Illawarra will need broad support from governments, regulators, customers and suppliers," he said.
"We are looking to the future; short, medium and long term and we are looking forward to seeing what a pilot hydrogen electrolyser can teach us about the production, storage and handling of hydrogen and, importantly, how hydrogen will behave in a blast furnace.
"The projects announced today demonstrate BlueScope's commitment to taking real action on climate change."
Member for Wollongong Paul Scully welcomed the partnership describing it as "fantastic news".
"This partnership will create jobs and we can continue to what we do best: make steel which builds renewable energy technology and infrastructure across the country", he said.
Mr Scully said the NSW Government must now also come to the party.
Mr Vassella said the Memorandum of Understanding was part of BlueScope's climate investment program of up to $150 million over the next five years.
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Greg Ellis
Almost four decades in electronic, print and digital media. A writer, presenter, emcee, photographer and videographer with degrees in business management, marketing and human resources and tertiary qualifications in photography.
Almost four decades in electronic, print and digital media. A writer, presenter, emcee, photographer and videographer with degrees in business management, marketing and human resources and tertiary qualifications in photography.
