$70m KCA hydrogen plant

A PROPOSED new $70m hydrogen plant is being touted as a possible alternative source for 10 per cent of Kimberly-Clark’s energy requirements, according to a document obtained by The Border Watch.

The document, a briefing paper about the proposed plant, includes the logos of Kimberly-Clark Australia (KCA) and PhosEnergy (PEL) – a diversified renewable energy company based in Adelaide – as the consortium behind the project.

The briefing paper outlines that a scoping study, fully funded by the consortium, is underway as stage one for the ‘Limestone Coast Hydrogen Hub’ which could be built by 2025 at KCA’s tissue mill near Millicent.

Drawing on the area’s existing nearby wind farm and emerging solar power generation capability, the Limestone Coast Hydrogen Hub would convert surplus electricity from these renewable sources to produce hydrogen from water making it a ‘green hydrogen hub’.

This would provide a supply of renewable hydrogen to support KCA’s drive towards net zero carbon emissions by 2030, the briefing paper said.

“The hub will also provide the Limestone Coast with a supply of renewable hydrogen to support the emergence of the heavy transport sector’s transition to hydrogen power.

“Given the area’s unique attributes as an identified AEMO (Australian Energy Market Operator) Renewable Energy Zone with an availability of approximately 280mW of wind and an emerging solar power generation capability, the Limestone Coast Hydrogen Hub is uniquely positioned to provide a renewable supply of green hydrogen, supporting local industry and cementing the region’s attractiveness for investment,” stated the briefing paper which was developed to help generate support for the consortium’s bid for government funding for stage two and three of the project.

Stage two of the project, a feasibility study, is expected to cost $3m, while construction of a pilot plant as stage three is estimated to cost $70m.

To support these stages, the consortium is in the process of applying for government grants of up to $36.5m.

The briefing paper said: “Stage three of LCH2 (Limestone Coast Hydrogen Hub) will involve the construction of a LCH2 pilot plant that will produce 5.4 tonnes of green hydrogen (12mW) per day, sufficient enough to provide up to 10 per cent of KCA daily energy requirements whilst removing about 36 tonnes CO2 (carbon dioxide) per day from the plant’s operations.

“Hydrogen, surplus to KCA’s requirements in the pilot phase, will be made available to the heavy transport sector under a trial program to promote the adoption of hydrogen powered heavy vehicles in the region.”

KCA Millicent Mill Manager, Adam Carpenter told The Border Watch that KCA was excited to join PhosEnergy as a founding member of the consortium assessing the potential of a Green Hydrogen Hub in South Australia.

“A Green Hydrogen Hub is a fantastic opportunity for the Limestone Coast, reducing greenhouse gas emissions from other gas and fuel energy streams,” Mr Carpenter said.

“Kimberly-Clark Australia has ambitious goals to reduce our carbon emissions in this decade, targeting carbon neutrality by 2030, and we see Green Hydrogen as a significant enabler to achieve this goal.”

PhosEnergy Hydrogen Lead, Glenn Toogood said: “The opportunity to develop the Limestone Coast Hydrogen Hub will provide the region with a new clean source of energy and will also greatly assist in a future low carbon economy.

“Kimberly-Clark’s continued focus on technical innovation and commitment towards a net zero carbon target demonstrates a strong leadership position not only in the Limestone Coast, but on a global scale,” said Mr Toogood.

“The ability to unlock Federal Government support through the National Hydrogen Strategy will certainly place the Limestone Coast on the map, in respect to assisting the Australian Government’s recent COP26 (United Nations Climate Change Conference) commitment in Glasgow, Scotland, towards net zero emissions by 2050.”

Source: The  Border Watch

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