Amp Energy (“Amp” or the “Company”) has signed an agreement to develop green hydrogen at scale on the Cape Hardy Port Precinct with Iron Road Ltd. Amp Energy, a Carlyle portfolio Company, is among the largest hydrogen developers in Australia, where it is progressing the development of 20 GW of electrolyser capacity across three precincts, equivalent to 19 million tons per annum of green ammonia production. Amp’s integrated model in Australia of owning and optimizing feedstock generation assets, transmission, processing, and export, will allow the delivery of cost-competitive hydrogen production globally.
Amp was drawn to the Cape Hardy project due to its strategic geographic location and strong support from the South Australia Government. The Cape Hardy site has direct access to high voltage power through existing transmission infrastructure as well as a deep-water port that will facilitate transportation of the hydrogen product. Furthermore, both the Traditional Owners of the land (the Barngala people) and the Eyre Peninsula landowners have strong relationships with the project, and the Australian Government has already shown firm support through its earlier announcement of $25 million for further Port infrastructure development. These factors will support the project to produce green hydrogen at competitive global prices and help South Australia meet its green hydrogen goals.
The Company intends to develop and build up to 5 GW of electrolyser capacity over the next decade in the precinct, delivering over 5 million tons per annum of green ammonia, which will establish South Australia as a global leader in the production of green hydrogen and ammonia. At this scale, 4,800 Direct and Indirect Construction jobs and 250 Direct and Indirect Operations Jobs are expected to be created.
Amp’s involvement in Cape Hardy will extend its commitment to the State of South Australia. In 2021, Amp established the Renewable Energy Hub of South Australia, a AUD $2 billion investment in renewable generation and Battery Energy Storage. This strategic commitment supports the clear commitment from the State of South Australia to the Green Hydrogen Economy.
“Our background of developing large scale upstream power systems globally positions Amp for the emerging opportunity of green hydrogen and provides industrial synergies.” said Paul Ezekiel, Co-Founder and CIO of Amp. “The development of strategically located, transmission-connected green hydrogen and ammonia facilities at select locations such as Cape Hardy in South Australia is critical to our continued global growth and long-term strategy."
The South Australia Government is supportive of the Cape Hardy Precinct: "South Australia’s world-leading renewable energy reputation continues to strengthen. The Cape Hardy precinct speaks to our State’s hydrogen production capabilities. As a leading global hydrogen energy developer and asset owner, we welcome Amp’s continued strategic commitment to South Australia. This project complements my Government’s commitment to hydrogen, through the Hydrogen Jobs Plan. The Hydrogen opportunity will be transformative for the South Australian economy, delivering energy security - while helping the State decarbonise", stated The Honourable Peter Malinauskas MP Premier of South Australia.
Amp’s expansion in South Australia will include and leverage Amp X’s digital energy platform which caters to a number of interoperable offerings aimed at unlocking grid flexibility at a large scale from the edge of the grid in order to support a fully decarbonised energy system and accelerate the energy transition.