Billion dollar hydrogen project mooted for Taranaki: Shane Jones

Monday, 19 November 2018

Regional Economic Minister Shane Jones told media on Saturday the 8 Rivers project mooted for Taranaki could cost more than $1 billion.

A new industrial enterprise, with a pricetag of more than $1 billion, has been mooted for Taranaki with the potential of creating 'significant' job opportunities.

During an interview with Newshub Nation on Saturday, Regional Economic Development Minister Shane Jones let slip about a project being broached in Taranaki by a group of investors known as 8 Rivers.

He said the idea had been 'hawked around' stakeholders and civil leaders in the region and the investors had approached the coalition government for money to assess its feasibility.

Jones said no decision had been made about that aspect yet but he did rule out the Government funding the project if it went ahead, as the likely cost would be more than $1 billion.

While shy on detail, Jones called the new development 'monumental' and would 'create hydrogen and create an output of urea'.

New Plymouth mayor Neil Holdom is aware of a potential project which could bring 'significant' employment opportunities to the region, but is staying silent on the details

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When contacted for more information, Jones declined to comment any further.

If it comes to fruition the project could be a game-changer for Taranaki's economy following the government's announcement in April to end offshore oil and gas exploration.

Hiringa Energy Ltd chief executive officer Andrew Clennett is aware of the 8 Rivers project and the potential benefits it could bring.

New Plymouth mayor Neil Holdom said he was aware of the 8 Rivers proposal.

'There is a world class, clean, industrial facility looking at Taranaki with the potential for significant employment possibilities,' he said.

However, Holdom stayed mum on any specifics, citing commercial sensitivity and referred Stuff to 8 Rivers for any other information.

The 8 Rivers website said the organisation looked to find sustainable, infrastructure-scale solutions to important societal problems.

On Monday, a company spokesman said more information about the project would be made available when it was ready to make an announcement.

In July, New Plymouth-based entrepreneur Andrew Clennett's company Hiringa Energy was given $950,000 from the coalition government's provincial growth fund to scope out hydrogen's potential as a zero emissions energy source for high use industries such as heavy transport.

Clennett confirmed he was aware of the 8 Rivers project.

'We understand the 8 Rivers project could provide significant industrial development activity for the Taranaki region together with export potential. To unlock these sorts of opportunities New Zealand needs to overcome some key challenges such as gas supply and ensuring the CO2 produced can be viably captured and stored in the Taranaki region,' he said in a written statement.

'Hiringa Energy has also been working with existing industry to develop green hydrogen and ammonia projects based on renewable energy. We see a future where both blue hydrogen (based on carbon capture and storage) and green hydrogen (based on renewable energy) together form part of a hydrogen economy,' Clennett said.

Methanex, which operates three plants in Taranaki which convert gas to methanol, declined to comment on the proposal.

Port Taranaki also did not want to comment.