Mining and energy group Fortescue has commenced construction of its first commercial-scale green hydrogen project as it pushes ahead with its plans to become a major force in hydrogen and renewable energy.
Earthworks have officially commenced at Fortescue’s almost $225 million (USD 150 million) multi-stage Proton Exchange Membrane 50 MW (PEM50) green hydrogen project being developed near Gladstone in central Queensland.
The initial stage of the project includes the installation of a 30 MW electrolyser plant with the first production of green hydrogen expected in 2025. The deployment of an additional 20 MW as part of the plant’s second phase is expected to be commissioned in 2028.
The PEM50 project is being constructed adjacent to Fortescue’s existing 2 GW electrolyser manufacturing facility on the 100-hectare site located at the Aldoga Industrial Estate, about 25 kilometres west of the port city of Gladstone.
PEM50 will use the locally made PEM electrolysers, as well as utilising renewable energy sources to generate green hydrogen for local and export markets.
Fortescue said when complete, the 50 MW plant will have the capacity to produce up to 22 tonnes per day or 8,000 tonnes per annum of green hydrogen.
The Gladstone PEM50 project is likely to be the first commercial-scale green hydrogen facility for Fortescue.
The project is one of three green energy and green metal projects valued at about $1.14 billion to secured final investment decision approval from Fortescue earlier this year.
The Christmas Creek green iron trial commercial plant in Western Australia and the Phoenix Hydrogen Hub in the United States also received the nod.
Fortescue last month broke ground on the Christmas Creek project that is to produce green iron using renewable hydrogen produced onsite through an already operational facility. The recently commissioned plant consists of two 700 kW electrolysers designed to produce about 195 tonnes of green hydrogen annually.
Work has also commenced on the Phoenix Hydrogen Hub being developed in Arizona with Fortescue aiming for first production in mid-2026. Stage one of the project is planned to include an 80 MW electrolyser and liquefaction facility capable of producing up to 12,000 tonnes of liquified green hydrogen annually.