Port Bonython export hub for hydrogen on Spencer Gulf in South Australia affected by 2025 resources switch
Port Bonython, near Whyalla on South Australia's Spencer Gulf, was to became the export terminal for projects representing around a $13 billion investment and generating up to 1.8 million tonnes of hydrogen by 2030.
The role of the proposed Port Bonython export terminal for green and blue hydrogen, near Whyalla on South Australia’s upper Spencer Gulf, became uncertain with events in early 2025.
The main uncertaintly came from the South Australian state government shelving its $600 million Whyalla hydrogen power plant in a switch of resources to saving the Whyalla steelworks., The Cape Hardy green hydrogen and industrial recinct was still an active proposed in early 2025.. Port Bonython also relied on goaheads for Renascor Resources Siviour graphite project and the Northern Water Project.
The Australian and South Australian governments announced $100 million funding in 2023 towards infrastructure towards Port Bonython on South Australia’s upper Spencer Gulf to became a large-scale export terminal for green and blue hydrogen.
Sixteen miles from Whyalla, Port Bonython had an existing deep-water liquid hydrocarbon export terminal,1,700 hectares of developable land, world-class wind and solar resources and nearby gas reserves. Port Bonython already handled the large-scale export of liquid hydrocarbon products from the Cooper Basin oil fields.
The $100 million from the governments (federal $70 million, state $30 million), plus a further $40 million from private industry, were to develop common user infrastructure, such as upgrades to the port, common user last mile pipelines, storage and access roads. The state government allocated $37 million from the 2020/21 state budget to upgrade the Port Bonython jetty.
Also in 2021, the government called for expressions of interest) from companies and investors to develop the land around Port Bonython to create a multi-user export precinct to leverage the state's renewable energy, fuels and minerals. Seven shortlisted projects were selected with companies involved including: AMP Energy, Fortescue Future Industries, H2U, Neoen/ENEOS Australia, Neoen/Chiyoda/Mitsubishi Australia, Origin Energy and Santos.
The incoming Labor state government from 2022 unveiled a comprehensive plan to develop a hydrogen industry in the Spencer Gulf, including a world-leading Hydrogen Jobs Plan and a hydrogen electrolyser, power station and storage plant.
The proposed projects at Port Bonython represented around a $13 billion investment and was hoped to generate up to 1.8 million tonnes of hydrogen by 2030. At the hydrogen hub infrastructure funding announcement, prime minister Anthony Albanese said: “We have the skills, we have the resources and here in Whyalla we have such an incredible, comparative advantage with anywhere in the world.”
