Taiwanese company Ruihe Holdings signed Taiwan's first overseas green hydrogen cooperative development agreement H2U in Australia on the 2nd. H2U is a large-scale green hydrogen development project, cooperating with industry players from Taiwan, Japan, South Korea and Australia. Ruihe Holdings is the exclusive partner in Taiwan for this project.
H2U’s goal is to produce 4 million tons of green ammonia per year in 2032. The first phase of the plan is expected to start production in 2028, with an annual output of 1 million tons of green ammonia. Green ammonia can be shipped to Taiwan in the same year, providing Taiwan’s industry with the most competitive Powerful low-carbon raw materials.
H2U transnational project is expected to produce 1 million tons of green ammonia in 2028
The H2U project is located in Queensland, Australia, and is jointly developed by Taiwan Ruihe Holdings, Japan's Mitsubishi Heavy Industries, South Korea's East-West Electric Power, Australia's Royal Vopak and Oerlikon. Providing competitively priced green hydrogen through Australia’s cheap green electricity and land.
Part of the green hydrogen and green ammonia produced by H2U is used by local Australian companies, and the rest is exported. Since the transportation of liquid hydrogen is still in the experimental stage, green hydrogen must be converted into green ammonia and exported to Taiwan, Japan, and South Korea in the form of green ammonia. H2U’s plan is to produce 4 million tons of green ammonia per year in 2032. The first phase of the project is expected to be completed in 2028, with an annual output of 1 million tons of green ammonia.
On the afternoon of the 2nd, Ruihe Holdings completed the signing under the witness of Taiwan Representative in Australia Hsu Youdian and Queensland Deputy Governor Cameron Dick. Dick pointed out that this is the first step for the export of green ammonia produced in Queensland to Taiwan, and it is also an important milestone in the bilateral relations between Taiwan and Queensland. Xu Youdian said that the green hydrogen produced by Australia’s abundant natural resources will help Taiwan achieve its 2050 net-zero transformation goal.
Taking advantage of Australia’s cheap green electricity, local companies take the first step to develop green hydrogen.
With the active assistance of the Energy Department and the Commercial Office of the Australian Office, Ruihe Holdings finally signed the first exclusive development plan for a Taiwanese company to lock in green hydrogen sources after more than a year of evaluation. Chen Kunhong said that the price of green hydrogen depends on cheap green electricity, cheap land and abundant water resources, which is a major advantage of developing green hydrogen in Australia.
According to the National Development Council’s net-zero path, hydrogen energy will account for 9 to 12% of my country’s electricity sources in 2050. The Industrial Research Institute estimates that the demand for hydrogen and ammonia in 2050 will be approximately 7.5 million tons, with hydrogen gas approximately 4.35 million tons and ammonia approximately 3.15 million tons.
Liquid ammonia is one of the important raw materials for Taiwan's fertilizer, chemical and electronics industries, and it currently relies entirely on imports. Chen Kunhong said that Taiwan currently imports about 600,000 tons of ammonia every year. The government is already planning to mix hydrogen and ammonia for power generation to reduce carbon emissions. In the future, green ammonia imports will not only be used by industry, but also be used for power generation.
In terms of price competitiveness, Chen Kunhong said that imported ammonia is mostly produced using ordinary electricity. Although the cost is low, it emits a lot of carbon dioxide, and the international community has begun to charge for carbon emissions. Although the price of green hydrogen and green ammonia produced by wind power and photovoltaics is slightly higher, with the maturity of water electrolysis technology and the development of the carbon market, they are still competitive in the market.
Source: Environmental Information Center
