Lion Energy has announced a new lease agreement that will see it establish a long-term base at the Port of Brisbane for a hydrogen refuelling hub.
The new lease of land within the port will allow Lion Energy to build and operate its first hydrogen generation and refuelling hub.
The hub will be geared towards heavy mobility fleets, with an early focus to be on supplying hydrogen to domestic public bus and truck fleets, as well as fuel cell gensets for the construction and mining industries.
The Lion facility at the Port of Brisbane, once complete, will be the first of its scale in Queensland.
The 10-year contract for Lion also has an option to expand for a further 10 years, with the procurement of a hydrogen electrolysis system and refuelling equipment now underway.
Lion Energy is expecting commissioning to occur later this year, with the hydrogen refuelling hub to become a major step in Lion’s hydrogen strategy.
“The location at Port of Brisbane is highly strategic due to its proximity to the majority of Brisbane’s 70-plus bus depots, and also the significant heavy vehicle traffic to and from the port,” Lion Energy executive chairman Tom Soulsby says.
“Our site will initially produce and dispense around 420kg green hydrogen per day, but with the ability to quickly double production to respond to increasing demand.”
Lion underwent extensive due diligence on the site, including mapping its proximity to target markets, with Soulsby saying that the location can be a critical part of a broader hub and spoke/depot supply system.
“We are proud to bring the first commercial sized green hydrogen facility in Queensland in 2024 at the Port of Brisbane,” Soulsby says.
“Our project will immediately benefit the community by allowing bus and heavy transport companies to operate clean hydrogen buses/trucks in the Brisbane metro area.
“Our installation will also allow many other businesses to confidently trial various types of hydrogen vehicles soon, such as cement agitators, garbage trucks and all other heavy vehicles for which battery technology is inadequate. Lion is also well placed to supply hydrogen to the burgeoning fuel cell genset market.”
The lease agreement also won’t have a material impact on Lion’s annual operating costs as Lion prepares to establish its base at Australia’s third largest and fastest growing multi-cargo port.
Lion is working with the Port of Brisbane to investigate a potential investment into solar energy supply at the port which offers substantial potential roof-top solar capacity.
“Diesel powered public bus fleets are being phased out across Australia with legislation supporting the shift to low emission transportation,” Soulsby says.
“Fuel cell powered vehicles will play a substantial roll in the replacement of the existing bus fleets and Lion is thrilled to be a first mover in the hydrogen refuelling space with the establishment of a landmark facility at the Port of Brisbane.”
The facility at the port will include all equipment required to generate and dispense green hydrogen, as well as the ability to load compressed hydrogen onto tube trailers for transportation to other sites/spokes/depots.
Lion has procured key equipment, including electrolysers, compressors and the dispensing package, and is working on development approval from the Queensland government.
Based on the current schedule, Lion expects to start construction in the third quarter of this year, with commissioning ready by the end of the year.
“The Port of Brisbane is pleased to support Lion Energy as they execute a plan to become a significant player in the clean energy space,” Port of Brisbane CEO Neil Stephens says.
“The space set aside for this lease provides a hydrogen generation and refuelling depot for our city’s vital public bus network as well as transportation fleets as we migrate toward a low-emissions future.
“It’s a great fit for both parties and we look forward to a long partnership with Lion as they expand their ambitions in Queensland and beyond.”