ABEL Energy to pilot the way to innovative green fuel in Tasmania

ABEL Energy has reached an in-principle agreement with Hydro Tasmania to purchase the decommissioned Bell Bay power station site for redevelopment into a green hydrogen and green methanol production facility.

The agreement, with financial and technical partner Iberdrola Australia, will enable the $1.2 billion Bell Bay project to move forward with permitting and advanced design work on "one of the best project sites in the world".

The Bell Bay project aims to produce renewable methanol with annual capacity of up to 300,000 tonnes.

The project will complement and expand the renewable resources of Tasmania, including world-leading low-emissions renewable power and harvest residues from certified forestry plantations, to produce net-zero methanol.

The plant will combine green hydrogen from a 240 megawatts (MW) water electrolysis plant with synthesis gas from a biomass gasifier to produce green methanol.

The production process will use 100 per cent renewable power from hydro and new wind production assets, fresh water from major river systems and biomass residues recovered from existing Tasmanian plantation forestry operations.

The production site will be clean in its operation with virtually zero greenhouse gas emissions, water vapour emissions, or effluent discharge.

The production process is odourless, and the product is biodegradable and easy to handle as a clear liquid.

"Follow us on our journey as the Bell Bay Advanced Manufacturing Zone undergoes a remarkable transformation, bringing together cutting-edge technologies and sustainable practices to become a beacon of innovation right here in Tasmania," added the ABEL Energy team.

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