Energy giant BP has announced a purchase of more than 40% of a $30 billion Asian renewable energy project.
The huge solar, wind and green hydrogen project has the potential to be one of the world’s largest renewable power hubs, BP said.
The UK-based company hopes to develop the Asian Renewable Energy Hub (AREH) with eventual capacity of 26 gigawatts (GW) of solar and wind power and produce more than 1.5 million tonnes of green hydrogen annually.
The hub is based in the Pilbara region of Western Australia.
AREH, according to BP, aims to make a significant contribution to Australia and the wider region’s energy transition, serving as a long-term clean energy security contributor in Asia Pacific, and enabling South Korea and Japan to decarbonise.
“We believe AREH can be a cornerstone project for us in helping our local and global customers and partners in meeting their net zero and energy commitments,” Anja-Isabel Dotzenrath, BP’s executive vice-president of gas and low-carbon energy, said in a statement.
“It will also serve as a long-term clean energy security contributor in Asia Pacific, helping countries such as South Korea and Japan to decarbonise.”
BP did not reveal how much it paid for the stake in AREH. Its partners in the project include InterContinental Energy, CWP Global, Macquarie Capital and Macquarie’s Green Investment Group.
“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,” Frédéric Baudry, the president of BP Australia, said.
- George Russell