$1.2bn Bell Bay Powerfuels Project in TAS progresses towards major construction

ABEL Energy’s Bell Bay Powerfuels Project in Tasmania is progressing well, with demolition of the former Bell Bay Power Station already underway. 

Minister for Energy and Renewables Nick Duigan welcomes this major milestone on this project that will pave the way for a new future for the State. 

“Green hydrogen is a critical enabler in Australia’s energy transition to a cleaner and more sustainable future. 

“Today is a symbolic milestone in Tasmania’s renewable energy journey, removing the old thermal power station to make way for the future of renewable energy, green hydrogen production,” Minister Duigan said. 

The approximately $1.2 billion Bell Bay Powerfuels Project will deliver a new green methanol and hydrogen plant that will produce up to 300,000 tonnes of renewable, green methanol annually. 

The facility will combine green hydrogen from a 240MW water electrolysis plant with synthesis gas from a biomass gasifier to produce green methanol. The production process at the plant will fully utilise renewable energy from hydro and new wind production assets alongside fresh water from major rivers systems and biomass residues from existing Tasmanian plantation forestry operations. 

“Tasmania, as Australia’s leading renewable energy state has some significant competitive advantages to offer industry and the world. 

“I am pleased that the Bell Bay Powerfuels Project aims to take advantage of Tasmania’s offerings to produce 300,000 tonnes of renewable, green methanol per year and provide new renewable energy generation in time to support projects of megawatt scale. 

“The Bell Bay Powerfuels Project is the most advanced export scale green hydrogen project in Tasmania and it’s an exciting day to see the project progress, demonstrating commitment in Tasmania to our shared renewable energy future. 

“I am confident that these developments will underpin the development of a world class green hydrogen industry in the state,” Minister Duigan said. 

Render of the Bell Bay Powerfuels Project (source: Bell Bay Powerfuels)

The Bell Bay Powerfuels Project is anticipated to create more than 800 jobs – including over 500 jobs during its construction and a further 300 direct and indirect jobs for at least 30 years once the plant is operational. 

In addition to the major project milestone, ABEL Energy has also announced the appointment of Simon Talbot as its new Chief Executive Officer who will now work to continue the advancement of the company’s pipeline of projects across Australia, including the Bell Bay Powerfuels Project. 

The recent announcement also highlights the key priorities for the project. This includes: 

• Finalising and bringing onboard new investment partners 
• Working with the existing team to accelerate Engineering work packages 
• Embed the safe, collaborative, and innovative culture with new team members 
• Drive future project development including commercial negotiations with key offtake partners 

“As a proud Tasmanian the importance of taking on this CEO role and delivering Tasmania’s biggest commercial project in over a generation is not lost on me. The Bell Bay Powerfuels Project alone will create over 500+ jobs, abate 540,000 tonnes of CO2, provide a $3 billion economic distribution to regional communities. This is an intergenerational renewable investment that will have a far reaching and profound impact on our environment, economy, communities, and downstream manufacturing,” Mr Talbot said. 

Source: Premier of Tasmania – News; ABEL Energy (1, 2); Bell Bay Powerfuels; Tasmanian Times