We are working with domestic and international partners from across the hydrogen supply chain to develop large-scale renewable hydrogen production in Central Queensland, with the view to exporting hydrogen to Japan, as well as supplying large industrial customers in the Central Queensland region.

Central Queensland hydrogen (CQ-H2) project completes feasibility and moves towards Front End Engineering Design (FEED)

Stanwell worked with Japanese companies Iwatani Corporation, Kawasaki Heavy Industries, Kansai Electric Power Company, Marubeni, and Australian energy infrastructure business APA Group to undertake a feasibility study, which found the CQ-H2 project is technically feasible and commercially viable with appropriate government support in the initial phases.

We continue to collaborate with consortium partners to progress the project towards FEED. The consortium recently signed a Memorandum of Understanding to jointly fund a pre-FEED stage to complete the planning required to commence FEED in early 2023 (subject to final approvals by each consortium partner).

If progressed, the proposed project will export renewable hydrogen to Japan and supply large industrial customers in the Central Queensland region to support emissions reduction for domestic industry by 2027.

When built, the renewable hydrogen project will be the largest in Queensland, scaling up to around 3,000 MW by the early 2030s.

At its peak, the proposed project will provide more than 8,900 new jobs. The project will also deliver $17.2 billion in hydrogen exports and $12.4 billion to Queensland’s Gross State Product over its 30-year life. It will also benefit construction, utilities, heavy manufacturing, and a range of local service industries.

Image: Artist impression of the proposed hydrogen electrolysis facility on land secured at Aldoga, 20km west of Gladstone.
Image: Artist impression of the proposed hydrogen supply chain, from hydrogen electrolysis facility to liquefaction and shipping.

Key milestones for CQ-H2

  • secured land for the Hydrogen Production Facility through Economic Development Queensland in Aldoga near Gladstone (April 2021)
  • secured funding from the Japanese Government (Ministry of Economy, Trade and Industry (METI) to support Japanese partners’ contribution to the feasibility study (June 2021)
  • signed a Memorandum of Understanding with the CQ-H2 consortium and commenced the feasibility study (September 2021)
  • secured Australian Renewable Energy Agency (ARENA) funding of $2.17 million for the feasibility study (September 2021)
  • Stanwell signed a Memorandum of Understanding with Acciona to source energy from the Aldoga Solar Farm for the CQ-H2 Project (December 2021)
  • secured $69.2 million from the Australian Government for the Stanwell-led Central Queensland Hydrogen Hub, which includes funding for common user infrastructure that will support the CQ-H2 project (April 2022, confirmed through October 2022 Federal Budget)
  • completed a detailed feasibility study (June 2022)
  • Queensland Government announced FEED funding of $15 million through the Queensland Renewable Energy and Hydrogen Jobs Fund (June 2022)
  • signed a Memorandum of Understanding to jointly fund a pre-FEED stage to complete the planning required to commence FEED in early 2023 (November 2022).

Supporting the growth of Queensland’s renewable hydrogen sector

We are working with government, industry partners and education providers to support the growth of the renewable hydrogen industry in Queensland. This includes investigating opportunities to maximise local workforce and manufacturing development, developing skills and training programs, and supporting renewable energy investment.