- Posco, a South Korean steel producer, intends to produce green hydrogen in Australia from renewables such as solar and wind power.
- The firm plans to invest $28bn in hydrogen production, which includes renewable energy generation and electrolysis.
Posco, a South Korean steel producer, intends to produce green hydrogen in Australia from renewables such as solar and wind power. The hydrogen will be converted into ammonia and exported globally. The firm’s chairman, Choi Jeong-Woo, said the conglomerate is looking to expand the scope and scale of its investment in Australia from steel raw materials to renewable energy, hydrogen and green steel.
The firm plans to invest $28bn in hydrogen production, which includes renewable energy generation and electrolysis. In addition, it will invest another $12bn in green steel for a planned total investment of $40bn by 2040. Posco has also invested over 4 trillion South Korean won ($3.08bn) in Australia to develop resources such as iron ore, lithium, and nickel.
Posco picked Australia to develop clean hydrogen capacities because of its large land area, abundant solar and wind resources, and advanced laws and systems. According to the Australian prime minister Anthony Albanese “The Posco group’s business and investment plans in Australia are consistent with the policy direction the Australian government is pursuing,”. In addition, Posco’s initiatives are in line with South Korea’s hydrogen roadmap as the country aims to establish large-scale domestic and overseas production bases and achieve 7.1pc of clean hydrogen power generation by 2036.