Synthetic fuels firm HIF Global has begun the application process for approval to build plant in Tasmania, Australia that would produce hydrogen-based synthetic fuels for road transport applications.

Hydrogen-based synthetic fuels are carbon-neutral fuels produced from renewable energy, green hydrogen and CO₂. The fuels can be used as direct substitutes in existing fossil fuel infrastructure and engines.

HIF plans to produce 8bn litres/yr of these fuels by 2030, with a third made in Australia.

“Today, we begin the first step in Tasmania to produce hydrogen from renewable energy, capture carbon dioxide from a biogenic source and produce highly competitive e-fuels that will be the carbon-neutral energy of tomorrow,” says the company’s CEO Cesar Norton.

Biogenic emission sources are emissions that come from natural sources such as animal management operations or forests.

“We begin the first step in Tasmania to produce hydrogen from renewable energy” Norton, HIF

The firm has filed a notice of intent with the Tasmanian Environment Protection Authority seeking approval for the facility, which will be located approximately 30 km south of Burnie in the northwest of the state.

The facility will have 250MW of green hydrogen electrolysis capacity. Pending approvals and FID, HIF aims to begin construction in 2024.

Global model

The facility design is similar to other facilities in Chile and the United States that HIF is preparing for construction in 2023.

The Chilean facility has received approval for construction and will initially produce 350 t/yr of methanol and 130,000 litres/yr of gasoline. The firm has signed offtake agreements for the plant.

The US facility will be located in Matagorda County, Texas. Construction is due to begin next year, as the facility has already received approvals from the Texas state government.

HIF raised $260mn in equity investments earlier this year from a number of funds. Its largest shareholder is Chilean utility AME.

Hydrogen-based synthetic fuels will account for 75-80pc of the hydrogen used in the transport sector by 2050, according to BP’s 2022 Energy Outlook.

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Author: Tom Young