- Fortescue Metals Group (ASX: FMG) gains Board approval for a FID on three key green hydrogen projects in the US and Aus
- The projects are the Phoenix Hydrogen Hub in the USA, the Gladstone PEM50 project in Australia, and a Green Iron Trial Commercial Plant in Western Australia
- The total investment for the approved projects is estimated at approximately US$750 million (A$1.1 billion) over the next three years
- FMG is also fast-tracking projects in Brazil, Kenya and Norway
- FMG shares are up just over a per cent, trading at $25.63 at 2:15 pm AEDT
Fortescue Metals Group (ASX:FMG) has achieved a significant milestone by securing Board approval for a final investment decision (FID) on three green hydrogen projects in the US and Australia.
The projects in question involve the Phoenix Hydrogen Hub in Arizona, the Gladstone PEM50 project in Queensland, and a Green Iron Trial Commercial Plant in Western Australia.
The Board has also accelerated projects in Brazil, Kenya, and Norway, demonstrating the company’s commitment to global and technological diversification in establishing Fortescue Energy’s green hydrogen initiatives.
“Fortescue is taking a proactive approach to green iron, including embracing innovative technologies that will help us step away from the use of fossil fuels,” Fortescue Metals CEO Dino Otranto said.
“We are confident that our approach will drive growth for Fortescue through new, high-value products being sold into new markets, ultimately leading to an increase in the number of iron units we sell.”
The total investment for the three approved projects is estimated at approximately US$750 million (A$1.1 billion) over the next three years.
These projects represent the first green hydrogen deals to progress to FID in the United States and Australia.
Key details of the approved projects include an 80MW electrolyzer and liquefaction facility in Arizona, USA (Phoenix Hydrogen Hub), a 50MW green hydrogen project in Queensland, Australia (Gladstone PEM50 Project), and a Green Iron Trial Commercial Plant in Western Australia.
Production for the three projects is expected to commence between 2025 and 2026.
FMG shares were up just over a per cent, trading at $25.63 at 2:15 pm AEDT.