Australia will soon load the world’s first liquefied hydrogen cargo onto a specially built vessel that will then deliver it to Japan.

The Suiso Frontier has arrived in Victoria and will load the 1,250m³ cargo in the next few days, following tests. It will then make a number of return trips in 2022 as part of the pilot phase of the Hydrogen Energy Supply Chain (HESC) project.

The vessel was manufactured by shipbuilder Kawasaki Heavy Industries—the first Asian company to build an LNG carrier.

The HESC project involves producing hydrogen from the gasification of coal and biomass in Australia’s Latrobe Valley. The gas is then trucked to the port of Hastings and cooled to -253°C, liquefying it.

“The HESC project is key to both Australia and Japan and our hydrogen industries” Morrison, Australian prime minister

For the HESC project to progress to full commercial scale, CO₂ from this process will eventually be captured and securely stored in the CarbonNet project’s offshore reservoir in Gippsland—but this part of the process is not yet operational.

Over the next two years, the HESC project partners will research the technical and operational requirements for such a commercial-scale project.

This will include further refining and testing the blending of biomass feedstock for gasification with coal, improving other technologies along the supply chain and securing offtake agreements.

The project aims to eventually produce hydrogen for less than A$2/kg ($1.4/kg).

Opening state coffers

The Australian government has this week announced a further A$7.5mn to support the HESC pilot, and A$20mn for the next stage of the CarbonNet project—with the funding contingent on additional commitments from the Victorian and Japanese governments as well as the HESC business partners.

This brings the Australian government’s total commitment to the HESC project to A$57.5mn.

“The HESC project is key to both Australia and Japan and our hydrogen industries,” says Australian prime minister Scott Morrison.

“In addition to our government’s support for HESC, we have recently established the Australian Clean Hydrogen Trade Program and committed up to A$150mn to the first round that will focus on clean hydrogen supply chains with Japan.”

The decision to proceed to commercial phase of HESC will be made in the 2020s, with operations targeted for the 2030s depending on the successful completion of the pilot phase, regulatory approvals and the level of hydrogen demand.

The HESC consortium includes Kawasaki Heavy Industries, utilities J-Power and AGL Energy, technology firm Iwatani Corporation, trading firms Marubeni and Sumitomo, and oil and gas firms Shell and Eneos.

Alternative technologies

Most hydrogen shipped internationally is first converted into ammonia—but this method has high reconversion costs and some technical issues remain in attaining hydrogen pure enough for use in proton-exchange-membrane fuel cells.

In a report released last year, titled Path to hydrogen competitiveness: A cost perspective, industry association the Hydrogen Council indicated liquefied hydrogen was the most likely natural successor to ammonia as export markets build and the costs of the technology come down.

But other options being developed include compressed hydrogen and liquid organic hydrogen carrier (LOHC) technologies.

A separate analysis by the IEA shows that, in the near term, for distances over 1,500km, LOHC and ammonia transport by ship are the cheapest delivery options.

The IEA estimates that importing hydrogen in 2030 via either LOHC or ammonia will have a delivered cost after reconversion of $5.50/kg. The price is estimated at $7/kg using a liquid hydrogen shipping process.

However, the study acknowledges that liquefied hydrogen shipping technologies have the greatest potential to fall in price.

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Author: Tom Young