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Oakajee SIA gets into gear

Image shows the Oakajee site

Photo by Bloomberg

26th May 2023

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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PERTH (miningweekly.com) – The Western Australian government on Friday announced that green ammonia and ammonium nitrate producers Kinara Power and Blue Diamond have become the first of six companies to agree to the key terms on options to lease land in the Oakajee Strategic Industrial Area (SIA), progressing the government’s plan for a Mid-West hydrogen hub.

The companies, which produce green ammonia, a derivative of hydrogen and ammonium nitrate, are two of six proponents allocated space in the renewable hydrogen industrial precinct.

Once operational, it is anticipated the Oakajee SIA will generate significant investment, employment and value production for not only the Mid-West region but the whole of Western Australia.

To date, the state government has committed A$55-million to the activation of the Oakajee SIA including A$5.5-million to deliver a number of site activation studies which are expected to be finalised in around 12 to 18 months.

It is one of 13 SIAs across the state established to provide locations for investment in strategic, heavy industrial and downstream processing industries to support the government's objective to diversify the state's economy.

“The Western Australian government welcomes this significant step to progress the development of the Oakajee Strategic Industrial Area in our state's Mid-West,” said State Development, Jobs and Trade Minister Roger Cook.

“Clean energy and green products made from renewable hydrogen are in demand globally. With its excellent mix of wind and solar resources, Western Australia and in particular the Mid-West region are perfectly placed to meet these demands.

“We have made a significant investment in this SIA which has the potential to help transform and diversify our economy and create more long-term jobs for Western Australians.”

Kinara’s planned Project Astra is expected to cost A$4-billion to develop, with the project producing 600 000 t/y of green ammonia, starting from 2029. A final investment decision is targeted for the first quarter of 2025, and the project is expected to create 2 100 jobs.

In addition to Kinara and Blue Diamond, the other proponents attached to the Oakajee SIA included bp, Fortescue Future Industries, Copenhagen Infrastructure Partners and Green LOHC.

Edited by Creamer Media Reporter

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