Orica has announced a final investment decision to proceed with the Hunter Valley Hydrogen Hub (HVHH), a commercial-scale renewable hydrogen production facility integrated with its existing ammonia manufacturing facility at Kooragang Island in New South Wales, Australia.
The facility will be constructed by specialised contractors using well established technology deployed at scale internationally and will use recycled water and renewable electricity to produce renewable hydrogen for ammonia production. The facility is expected to produce 4700 tpy of renewable hydrogen, sufficient to produce approximately 26 600 tpys of low-carbon ammonia and reduce Orica’s natural gas feedstock demand by approximately 7.5%.
Construction of Orica’s HVHH is scheduled to commence in 2026, with first production targeted for early 2029. Capital expenditure related to construction of the HVHH is expected to be in the range of AU$245 - 283 million across 2026 - 2029, net of Government capital funding.
2026 net capital expenditure for HVHH is expected to be in the range of AU$25 - 37 million. This is incremental to Orica’s existing business capital expenditure which is expected to be broadly in line with 2025 (2025 capital expenditure: AU$460 million).
The project is supported by Australian and New South Wales State Governments and the Australian Renewable Energy Agency (ARENA).