Argentina, Fortescue unveil US$8.4 billion green hydrogen

Andrew Forrest, an Australian mining billionaire, has his eyes on what is expected to be a US$8.4 billion “green hydrogen” investment in Argentina.

The authorities of the South American country revealed this on Monday following a meeting between the businessman and President Alberto Fernandez.

Forrest is a key supporter of green hydrogen, a zero-carbon fuel gotten by electrolysis using renewable power to split water into hydrogen and oxygen. His organization, Fortescue Metals Group (OTC:) Ltd has set it as a goal to become carbon-neutral by 2030.

While it is a pricier option compared to rival fuels at this time, some investors are convinced that it is a better-suited, cleaner replacement for fossil fuels in industries that are otherwise hard to decarbonize.

The International Renewable Energy Agency has forecast rapid growth in the coming years.

Fortescue is planning to situate its planned development project in the province of Río Negro with the hopes of producing green hydrogen on an industrial scale. The government has said this project will create over 15,000 direct jobs and even more indirectly.

“It is expected to turn Río Negro into a global green hydrogen export hub by 2030,” the government said. “It is the most important international investment for our country in the last 20 years.”