(Leverkusen/Perth) – Leverkusen-based Covestro AG wants to work with the Australian company Fortescue Future Industries Pty Ltd. (FFI) enter into a long-term agreement for the supply of green hydrogen and its derivatives, including green ammonia. According to a letter of intent, FFI will supply the polymer materials provider with the equivalent of up to 100.000 tons of green hydrogen per year. This would allow Covestro to replace the gray hydrogen it has previously used and reduce its greenhouse gas emissions by up to 900.000 tons of CO2 per year. Deliveries are planned for production sites in Asia, North America and Europe and could begin in 2024. For this purpose, the delivery contract is being drawn up.
For FFI and Covestro, this declaration of intent is “a first step towards a more comprehensive strategic partnership”. Covestro uses hydrogen and its derivatives as a starting material for the production of high-performance polymers. The main customers include the automotive and transport industries, the construction industry, the furniture and wood processing industries as well as the electronics and household appliances industries.
At the end of 2020, Covestro was producing at 33 locations worldwide and employs around 16.500 people. Sales were 10,7 billion euros. The group has set itself the goal of relying entirely on alternative, renewable raw materials and green electricity.
FFI wants to increase the production of green hydrogen to 2030 million tons per year by 15. In the following decade, production is expected to increase to 50 million tons per year.
Photos
Covestro headquarters in Leverkusen. © Covestro AG
