Agreement on hydrogen and memorandum of understanding with Santos for gas

• Landmark Hydrogen Offtake agreement with South Australian Government
• MOU with Santos for potential long term natural gas supply and cooperation for decarbonisation

GFG Alliance has today signed a landmark agreement with the South Australian Government to explore opportunities for the supply of hydrogen from its 250MW electrolyser in Whyalla to support the transformation to green iron and steel.

GFG has also entered into a memorandum of understanding (MOU) with global energy company Santos for potential long term natural gas supply to its Whyalla operations.

GFG Alliance Executive Chairman Sanjeev Gupta said, “Being a key offtaker for the supply of green hydrogen from the world’s largest electrolyser being built in Whyalla is a real privilege for GFG. This step is vital in our plans to produce premium green iron and steel in Whyalla, and a huge boost to Australia’s determination to lead the world in decarbonisation.”

“I celebrate our collaboration with the South Australian Government which serves to underscore Premier Malinauskas’s commitment to environmental sustainability and economic prosperity for the Upper Spencer Gulf.”

“The Premier’s bold approach to leading the charge on green hydrogen is an example to Australia and the rest of the world in kick starting this vital shift in energy transition which will benefit generations to come.

“Today’s agreement gives us and our stakeholders confidence to ramp up our efforts and commitment to the production of our 4 billion tonnes of high-quality magnetite, the establishment of a state-of-the-art green iron and green steel plant which will ultimately be powered by renewable energy and green hydrogen.

These world changing industries will truly put Whyalla on the map, bringing high quality jobs and prosperity to this resilient region, establishing us as a global leader in the production of green iron and steel.”

“I am also pleased to be working with a strong partner in Santos on natural gas supply for our operations, necessary for the transition to hydrogen. Furthermore, we are happy to support and applaud the pursuit of Santos’s Carbon Capture and Storage ambitions which could play a significant role in reducing residual emissions from our steelworks.”

Liberty Primary Steel and Mining CEO Sandip Biswas said, “Whyalla has all the elements required to lead the green steel industry in one location – vast reserves of high-quality magnetite, abundant potential for the generation of renewable energy, a cape-sized capable seaport, a skilled workforce, extensive existing infrastructure, a supportive community, collaborative governments, and now secured a pathway to offtake natural gas and decarbonisation collaboration.”

Today’s announcements are in addition to a recent grant of $63.2 million from the Albanese Government’s Powering the Regions Fund to support the purchase and installation of an electric arc furnace and a $50 million grant committed by the South Australian Government pending approval for use towards the EAF. This support will ensure the transformation of Whyalla steelworks continues to progress.
GFG looks forward to continuing to work with the South Australian Government on its vision for the Upper Spencer Gulf and Eyre Peninsula, and to opportunities to work with the Australian Government on its ambition for Australia to become a Renewable Energy Superpower.

About GFG Alliance:

GFG Alliance is a collection of global businesses and investments owned by Sanjeev Gupta and his family. The Alliance is structured into three core industrial pillars; LIBERTY Steel Group, ALVANCE Aluminium Group and SIMEC Energy Group, independent of each other yet united through shared values and a purpose to create a sustainable future for industry and society. GFG Alliance employs 35,000 people, across 10 countries and has revenues of USD $20bn. GFG Alliance is a leader in sustainable industry with a mission to become Carbon Neutral by 2030 (CN30).