Fortescue Future Industries signs agreement with JCB and Ryze Hydrogen to become UK’s largest supplier of green hydrogen; Xergy acquisition
Fortescue Future Industries (FFI) will become the largest supplier of green hydrogen (GH2) to the United Kingdom after signing a multi-billion-pound deal with construction giant J C Bamford Excavators (JCB) and Ryze Hydrogen (Ryze).
Under a memorandum of understanding signed today prior to the COP26 climate conference, JCB and Ryze will purchase 10% of FFI’s global green hydrogen production. FFI’s green hydrogen production is anticipated to grow to 15 million tonnes of GH2 per year by 2030, accelerating to 50 million tonnes per year in the next decade thereafter.
Under the partnership, FFI will lead the green hydrogen production and logistics to the UK market, and JCB and Ryze will manage green hydrogen distribution and development of customer demand in the UK.
This is an important step towards getting green hydrogen to the customer. It’s fine having an engine powered by green hydrogen, but no good if customers can’t get green hydrogen to fuel their machines. This is a major advance on the road towards making green hydrogen a viable solution.—JCB Chairman Lord Bamford
Jo Bamford, widely regarded as the UK’s green hydrogen champion, is the founder of Ryze and owner of Wrightbus. Ryze is building the UK’s first network of green hydrogen production plants, while Wrightbus built the world’s first hydrogen double decker.
An extended offtake agreement will also be evaluated to provide green hydrogen to the European market, and the parties have agreed to evaluate collaboration opportunities to accelerate green hydrogen demand and establish green hydrogen and green industry manufacturing centres.
Several days prior to the signing of the MOU, FFI announced that it had acquired the commercial assets of Xergy Inc and Xergy One Ltd. (Xergy) to form FFI Ionix Inc.
A wholly owned subsidiary of FFI and based in the United States, FFI Ionix will operate as a technology development company focused on global technology leadership and commercialization of hydrogen technologies, including ion exchange membranes for water electrolysis, electrochemical compression, water transmission and fuel cells.
These investments will advance the technologies needed for FFI’s green hydrogen projects. Together, our goal is to make zero emissions energy available at an industrial, global scale as we become the world’s leading, fully renewable energy and green products company.—FFI Chief Executive Officer, Julie Shuttleworth