bp agreed to acquire a 40.5% equity stake in and to become the operator of the Asian Renewable Energy Hub (AREH).
AREH, in the Pilbara region of Western Australia, intends to supply renewable power to local customers in the largest mining region in the world and also produce green hydrogen and green ammonia for the domestic Australian market and export to major international users.
AREH has plans to develop onshore wind and solar power generation in multiple phases to a total generating capacity of up to 26 gigawatts (GW).
At full capacity, AREH is expected to be capable of producing around 1.6 million tonnes of green hydrogen or 9 million tonnes of green ammonia, per annum.
At full capacity, AREH is expected to abate around 17 million tonnes of carbon in domestic and export markets annually, which would equate to roughly 0.5 gigatonnes (Gt) of carbon savings over the lifetime of the project.
When fully developed, AREH could provide significant net renewable generating capacity for bp as well as making a material contribution to its strategic aim to capture a 10% share in core hydrogen markets globally.
