AGIG awards hydrogen contract

Australian Gas Infrastructure Group (AGIG) has awarded Valmec a contract for the development of a hydrogen facility.

Valmec will provide engineering, procurement and construction services for the project, located in Tonsely, South Australia, in a deal worth approximately $4.5 million.

Valmec Managing Director Steve Dropulich said the company was excited to work on a project that will help facilitate the growth of hydrogen in Australia’s energy mix.

“We look forward to continuing our strong relationship with AGIG and delivering Australia’s first hydrogen facility in SA,” he said.

“With the project also being the largest renewable gas project in Australia, Valmec is proud to be part of an industry making a low carbon emissions future a reality.”

AGIG’s $11.4 million project will produce hydrogen from renewable electricity, where it will then be injected into the local gas distribution network to provide gas to homes and businesses.

Valmec’s work on the development is expected to commence immediately, while the first production of hydrogen from the facility is targeted for mid-2020.

For more information visit the Valmec website.

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