A new 6 GW green hydrogen plant looks set for construction on the coast of Western Australia, starting in 2027. The Murchison Green Hydrogen Project (Murchison) will be among the first wave of export-level hydrogen plants in Australia.
The project gained full support from the Australian Government in 2025, with A$814 million funding from the Australian Hydrogen Headstart program. After 4 years of planning and assessments, the project has completed environmental-impact studies. Final Investment Decision (FID) is set for 2026.
‘A large-scale project like this helps to build confidence to the global hydrogen industry,’ says Shohan Seneviratne, Chief Executive, Murchison Green Hydrogen.
The perfect blend of wind and solar
The Murchison project is planned for an 89,000-hectare site on the Indian Ocean coast 600 km north of Perth. It envisages up to 6 GW of onshore wind and solar power driving 3 GW of electrolysers. This will produce up to 1.9 million tonnes of green ammonia per year.
The project will include its own desalination and marine export facility. Coastal waters are sufficiently deep – 30 metre-plus to enable access for offtake from large vessels. The project is funded by the Danish investment fund, Copenhagen Infrastructure Partners (CIP), which specialises in large, greenfield renewable energy projects.
‘We will be in the first wave of projects to deliver large-scale, green ammonia in Australia,’ says Seneviratne. ‘Our Environmental Review document will be submitted in 2025. Following completion of FEED, we aim to achieve FID in late 2026 and commence construction in 2027.’
Australia ticks the hydrogen boxes
Seneviratne says Australia, and particularly the mid-west, has a natural competitive advantage in large-scale green hydrogen production.
‘Australia provides access to large parcels of undeveloped land with good wind and solar resources and proximity to the coastline for export of the hydrogen,’ says Seneviratne.
‘Our site north of Kalbarri in Western Australia provides highly reliable and complementary wind at night and solar during the day. This leads to high generation capacities and reliable production volumes.’
Australia also has a reputation for political stability, consistent taxation and transparent regulation. Western Australia is also already a major energy exporter to Singapore, Korea, Japan and China.
A supportive planning process
Murchison began development approximately 4 years ago. Seneviratne says during this time, interactions with government agencies have been positive and supportive.
His team is negotiating an Indigenous Land Use Agreement (ILUA) with the Native Title owners and completing the Land Lease Option with the state government. The project has also completed feasibility and pre-FEED, conducted all environmental studies and is preparing to submit environmental approvals in 2025.
‘I think the regulatory frameworks in Australia are stable and aligned to establishing this new green hydrogen industry,’ he says. ‘Australia’s production-based subsidy mechanisms help to derisk projects and give trading partners confidence that ammonia will be delivered at a competitive price.’
Major project status
Murchison has gained “Lead Agency Status” and “Major Project Status” from the state and federal governments of Australia. This means the project is recognised as being of state and federal significance and will benefit from dedicated government resources and facilitation to ensure a streamlined approach to regulatory approval processes.
To further streamline approvals, the Western Australian Government will use a bilateral agreement to undertake the environmental impact assessment for both state and federal regulators.
‘The assistance offered to the Murchison Green Hydrogen Project by the state and federal government means we are moving forward together to put Australia at the forefront of a new global decarbonised economy,’ says Seneviratne.
Austrade and pan-Asia services
Austrade helped connect Murchison with potential offtake partners.
‘Austrade has provided introductions to potential partners in Korea and Japan, as well as other international buyers,’ says Seneviratne. ‘We have now signed detailed heads of agreements with potential offtake partners in Asia.’
Catherine Hill, Austrade’s Trade and Investment Commissioner for the Netherlands, Nordics and Baltics, shares that CIP has played a key role in growing Australia’s green hydrogen sector.
‘CIP’s long-term commitment to the Australian market has been a catalyst for the development of Australia’s offshore wind sector. They are now well placed to be the first mover in green ammonia production at commercial scale in Australia.’
Staged delivery and great export prospects
Delivery is planned in stages. An initial 3 GW of power will be built with construction planned to commence in 2027. This will mean first ammonia production in late 2029, or early 2030.
Stage 2 will double capacity. This means Australia is set to become a major exporter of ammonia or green hydrogen during the early 2030s.
‘Australia is vast, and we have huge wind and solar resources,’ says Seneviratne. ‘We believe this project will help to kickstart the Australian renewable hydrogen industry.’
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