Fortescue Future Industries (FFI) and the North Kalimantan Provincial Government of the Republic of Indonesia have signed a cooperation agreement to explore and study the potential for renewable energy and green hydrogen projects. This agreement is a step towards fulfilling the Memorandum of Understanding (MoU) between FFI and the Provincial Government, signed on 12 July 2021.
FFI proposes to produce green hydrogen and green ammonia in North Kalimantan for domestic use and export markets. The potential projects to be further studied under the cooperation agreement will utilise renewable power and will be built in the North Kalimantan Province. The proposed projects will provide significant economic benefits to the people of North Kalimantan and are planned to be to the highest standards of social and environmental sustainability. The company will agree to have a specific focus on increasing local labour expertise and utilisation of local goods and services.
Building on FFI’s preliminary study conducted earlier in 2021, in 2022 FFI will undertake further studies with a view to potentially develop an industrial processing facility that is capable of producing a minimum 600 000 tpy of green hydrogen. The potential development is subject to the outcome of the further studies and FFI Board approval.
FFI’s operations are in line with the vision and mission of President Joko Widodo and Governor Zainal in providing jobs for local people and generating opportunities for local businesses. The company supports the President’s leadership in opening pathways for green investment and strategic programmes to decarbonise Indonesia’s economy through zero-emissions green hydrogen fuel. It welcomes the Government’s actions in improving the investment climate and has committed itself to help boost domestic trade in a sustainable manner.