JAKARTA, INDONESIA-- Black & Veatch, a global leader in critical infrastructure solutions, has conducted a feasibility study for Augustus Global Investment (AGI) on the generation of green hydrogen in Indonesia.

The project envisions green hydrogen production using electrolyzers powered by grid-supplied renewable energy.

Black & Veatch provided a plant configuration and technology analysis and order-of-magnitude cost estimates for hydrogen generation and storage. The study finds that the project can be technically and economically feasible and has the potential to significantly contribute to Indonesia's energy transition.

“With Indonesia’s vast energy and renewable resources including geothermal energy, there is great potential for this project to be a catalyst in creating a long-term hydrogen economy in Indonesia over this next decade,” said Narsingh Chaudhary, President, Asia Pacific and India, Black & Veatch.

“Black & Veatch is at the forefront of the green hydrogen value chain including currently building one of the world’s largest industrial green hydrogen production and storage facilities on a turnkey basis and we are pleased to bring our global expertise to the region to support these new project developments,” he added.

The proposed green hydrogen production plant would be built in the Arun Lhokseumawe Special Economic Zone (SEZ) in the Aceh province of Indonesia. The plant is expected to produce 98.5 tons of hydrogen per day (TPD) and have a 300-megawatt (MW) capacity.

“Augustus sees worldwide prospects for long-term investment in the infrastructure and energy sectors. We are thrilled to invest in Indonesia and support the nation's transition to a clean energy future,” said Fadi Krikor, CEO of AGI, a Germany-based investment firm focusing on infrastructure and energy.

Developing the green hydrogen production plant is estimated to cost USD 500 million.

Part of Indonesia’s efforts to meet carbon neutrality targets includes developing large-scale renewable energy, with a concentration on solar, hydropower and geothermal energy as well as hydrogen.

Black & Veatch is involved in building 245 MW of electrolysis capacity, nearly doubling green hydrogen production worldwide, including as the engineering, procurement and construction (EPC) provider for the Advanced Clean Energy Storage facility in Delta, Utah, USA, which will be among the world’s largest industrial green hydrogen production and storage facilities.

At Enlit Asia 2023, Chaudhary will propose a roadmap for achieving net zero emissions in Southeast Asia’s future energy systems.