Green energy precinct planned for Cape Hardy site

ADDITION: The Cape Hardy site will include a green manufacturing precinct.
ADDITION: The Cape Hardy site will include a green manufacturing precinct.

The Cape Hardy deep sea port will open the door for hydrogen production with a 200 hectare green manufacturing precinct on site.

Iron Road, the company behind the proposed deep sea port has signed an agreement with Australian renewable energy company The Hydrogen Utility (H2U) to work together on developing the precinct at Cape Hardy.

H2U is expecting to begin site development of its electrolysis and ammonia production facility at Port Lincoln early next year, but had identified Cape Hardy as the preferred location for a larger green hydrogen production and export hub.

Iron Road managing director Andrew Stocks said the Cape Hardy deep sea port was a true multi-user, multi-commodity project that was unlike anything else in the country.

"The unique location, the scale of the Cape Hardy industrial port development offers the opportunity to grow a green manufacturing precinct without impacting an adjacent population centre," he said.

"Unlocking the port potential is also expected to have a positive impact on investment discussions for the wider Central Eyre Iron Project development."

H2U chief executive officer Dr Attilio Pigneri said the precinct would seek to satisfy the growing world demand for decarbonised industrial products and energy.

"The hydrogen infrastructure to be built at Cape Hardy, integrated with the world-class renewable energy resource on the Eyre Peninsula positions the region to grow exports as the markets for decarbonised energy and industrial chemicals in North Asia grow," he said.

Regional Development Australia Whyalla and Eyre Peninsula chief executive officer Dion Dorward said it was pleasing to see the agreement happen as it would help diversify the region's economy and value add to the region's primary industries.

"The Cape Hardy project has the scale and capacity to be able to support these sorts of projects and that's what sets it a part from any other port project in southern Australia," he said.

Eyre Peninsula Cooperative Bulk Handling (EPCBH), who is working with Iron Road to develop a grain supply chain network incorporating Cape Hardy has expressed support for the new precinct.

"We welcome the incorporation of the green manufacturing precinct at Cape Hardy and look forward to working with H2U to explore the potential distribution of locally produced ammonia," EPCBH chairperson Bruce Heddle said.

"This announcement provides an interesting backdrop and optimism in contrast to the current situation where we have seen grain infrastructure closures and resulting loss of flexibility."