PERTH (miningweekly.com) – ASX-listed Dalrymple Bay Infrastructure has inked a funding agreement with North Queensland Bulk Ports Corporation, Brookfield Infrastructure Group and international trading company ITOCHU Corporation to complete detailed feasibility studies associated with the development of the Dalrymple Bay hydrogen project.

The agreement follows a memorandum of understanding (MoU) in August last year.

The feasibility studies are aimed at understanding the potential for development of a regional hydrogen hub within the vicinity of existing terminal infrastructure. The studies will seek to quantify the green hydrogen production capability of the region surrounding Dalrymple Bay Terminal (DBT), and the scope and scale of upgrades required to the existing terminal infrastructure in order to handle both its own and third parties’ green energy exports.

The DBT at Hay Point is known globally for the key role it plays in exporting to 25 countries and supporting the global steel supply chain.

Dalrymple Bay Infrastructure said on Thursday that the DBT is ideally placed as the location for a possible green hydrogen facility due to its deep-water port, access to the established Mackay industrial zone, availability of land and water, and position within one of Queensland’s Renewable Energy Zones.

“DBT will continue to play an essential role in the global steel sector. However, Dalrymple Bay Infrastructure has commenced the development of an overarching transition strategy and these feasibility studies are just one step that Dalrymple Bay Infrastructure is taking in its efforts to diversify the business,” said CEO Anthony Timbrell.

“By engaging with key stakeholders in this early stage of the process we can ensure Dalrymple Bay Infrastructure continues to provide essential infrastructure while supporting a global transition to lower emissions. I look forward to updating the market in coming periods on the progress of the studies.”

The feasibility studies' costs will be equally shared by all parties to the agreement and it is anticipated the initial feasibility studies would be completed in around 12 months. Dalrymple Bay Infrastructure remains committed to consulting with the community, traditional owners, DBT’s users and other stakeholders as part of the project development process.