The H2U Eyre Peninsula Gateway Hydrogen Project has received a boost from the South Australian government, helping it become the world’s largest green ammonia plant.

It will include the installation of a 75MW electrolyser near the regional city of Whyalla which is capable of producing enough hydrogen to create 40,000 tonnes of ammonia yearly.

With the recent round of funding collecting $37 million, the project will upgrade the nearby Port Bonython jetty as part of the plan to become and exporter of green energy to world markets. It comes just a week after the state launched the SA Hydrogen Action Plan, which identified Port Bonython as a key hub.

The H2U plant will use 100% wind and solar power generated in the region to power the electrolyser which splits water into hydrogen and oxygen gas. A further process using nitrogen is used to make green ammonia.

It will also boast two 16MW open cycle gas turbines operating 100% on hydrogen at the site to provide electricity generation to the grid during periods of low wind or solar output.

“[The project] offers the opportunity to export South Australia’s abundant solar and wind resources to support deep decarbonisation in the global energy, industrial and shipping sectors,” H2U chief executive Dr Attilio Pigneri says.

“In the energy sector, Japan is leading the way with their plan to introduce green ammonia as a substitute fuel, to help meet its decarbonisation targets.”

The project is targeting completion by late 2022.