bp Australia (bp) is undertaking a feasibility study into the production of green hydrogen at its Kwinana site in Western Australia, in partnership with Macquarie Capital and with funding from the Western Australian Government.

The project marks a significant step in bp’s broader plans to repurpose its Kwinana site as an integrated energy hub that produces and distributes fuel for the future. bp is already underway with plans to develop a renewable fuels plant at the site, producing sustainable aviation fuel and renewable diesel.

Frédéric Baudry, president, bp Australia and SVP fuels & low carbon solutions, Asia Pacific, said: “We would like to thank and acknowledge the Western Australian Government for their support for our plans to repurpose Kwinana.

“Guided by the Federal Government’s Low Emission Technology Investment Roadmap, we are advancing bp Kwinana’s contribution to the creation of domestic green value chains and the decarbonisation of Australia’s hard-to-abate sectors, particularly heavy industry, mining and transport.”

The Kwinana Industrial Area is the largest industrial cluster in Western Australia and is a great example of industrial symbiosis with more than 150 products, by-products and utilities exchanged between facilities in the region. The hydrogen feasibility study will help progress the decarbonisation of industrial processes by integrating green energy alternatives for these existing industrial uses.

“For more than 65 years, bp’s Kwinana site has played an integral role in the Kwinana Industrial Area, which is comprised of a diverse range of high emission producing industries, including mineral refineries, power stations, chemical plants and cement works.

“We are excited by the role bp’s Kwinana energy hub will play in close collaboration with our partners. bp has a strong track record as an energy provider to the industrial area and has readily accessible land, existing infrastructure including storage and distribution facilities, and a team with extensive operational capabilities and experience.

“bp is committed to developing solutions that will help accelerate the energy transition in Australia. With our unique capabilities, bp can offer increasingly complex, multi-energy solutions to its partners and customers through their decarbonisation journey,” Frédéric Baudry added.

John Pickhaver, co-head of Macquarie Capital, Australia and New Zealand said: “We are delighted to be partnering with bp in this project as part of our greater commitment to supporting the transition to a low-carbon economy. We believe Australia – and Kwinana in particular – has a number of use cases that support a meaningful green hydrogen industry. We are looking forward to working with bp and the Western Australian Government on this significant project.”

About bp Australia

bp has set an ambition to become a net zero company by 2050 or sooner, and to help the world get to net zero. Our team in Australia is working hard on our low carbon goals via alternative energy solutions, technology and as a gas producer.

bp has been operating in Australia for more than 100 years. bp is one of Australia’s leading premium fuel retailers with around 1,400 branded retail fuel sites across the country, of which approximately 350 are company-owned, and more than 1,000 are owned and operated by our independent business partners.

bp is engaged in the exploration and production of oil, natural gas and liquefied natural gas and the marketing of petroleum and lubricant products in Australia.

About Macquarie Capital

Macquarie Capital combines specialist expertise, innovative advice and flexible capital solutions to help our clients and partners make opportunity reality.

Our global corporate M&A, advisory, investing, development and equities capabilities are underpinned by deep sector expertise and a full spectrum of capital solutions from debt, equity, and private capital raising and financing to investing our own capital to enable new opportunities.