'Bring it on' | Fortescue will use its own technology at 2GW hydrogen electrolyser factory after partner Plug Power pulls out
Billionaire Andrew Forrest's green H2 company is still on track to produce first electrolyser at Queensland plant in first half of 2023, FFI tells Hydrogen Insight
US electrolyser maker Plug Power has pulled out of a 50-50 joint venture with Fortescue Future Industries (FFI) — the green hydrogen company owned by Australian iron-ore billionaire Andrew Forrest — that was building a 2GW electrolyser gigafactory in Queensland, Australia.
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“We decided that we didn’t want to build a factory with them [FFI] because we saw the economics, we could do better,” Plug Power’s chief financial officer Paul Middleton told a business update call with investors on Thursday. “So we really didn’t think that was worthwhile.”
FFI, however, remains bullish about the gigafactory, with CEO Mark Hutchinson telling Plug to “bring it on”.
“The feeling really was that we were advanced on our own technology and the IP [intellectual property] was ours and we can do it at scale,” he told a briefing for analysts and media on Friday.
“We want to control our own destiny. Our demand is going to be huge, we think there is enormous value in owning the technology and it is going to develop very, very quickly.
“I believe we can get the best economics out of our electrolyser facility, [Plug CEO] Andy [Marsh] has a different view, that is fine, so bring it on.”
He added that the plant in Gladstone, Queensland, “is going ahead as planned, nothing changes what the exciting thing is — it’s going to be Australian technology”.
Plug’s decision could be considered a setback in its expansion plans, however.