Calix and Perdaman partner on hydrogen for Zesty green iron project

Australian industrial technology company Calix has announced an agreement with WA company Perdaman to develop a hydrogen supply solution for Calix's Zesty Green Iron Demonstration Project in Western Australia (Zesty Project).

Under the terms of the agreement, Perdaman will deliver the engineering and design of a hydrogen supply solution for the Zesty Project required to support a final investment decision (FID). Calix has granted Perdaman a 12-month exclusivity period related to developing the hydrogen supply solution for the Zesty Project.

Future hydrogen supply arrangements for the operational phase of the Zesty Project remain subject to negotiation.

The Zesty Project aims to demonstrate the production of hydrogen direct reduced iron (H-DRI) from multiple iron ore sources and producers at a commercially relevant scale and enable testing of the Zesty H-DRI product in multiple steelmaking pathways. Hydrogen is a key input to the Zesty Project — used as a reductant in combination with electric heating to produce H-DRI from iron ore. Establishing a hydrogen supply solution at the Zesty Project’s location at suitable volumes, time frames and cost is a critical milestone required for the Zesty Project to reach FID.

Perdaman has developed significant capabilities in hydrogen-related industrial production through its energy businesses and major projects in Western Australia. Perdaman’s Project Ceres is a multi-billion-dollar project that aims to become Australia’s largest domestic ammonia and urea manufacturing facility. Project Ceres has been awarded Major Project Status by the Australian Government, is designated a Project of State Significance by the Western Australia Government, and has received Australian Government funding. Perdaman is also developing Project Helios, creating hydrogen as feedstock for low carbon fertiliser, which has been shortlisted for Australian Government funding from the Australian Renewable Energy Agency’s (ARENA) Hydrogen Headstart program.

“Developing a viable hydrogen supply solution is a critical step towards enabling the Zesty Project to reach FID,” said Calix Managing Director and CEO, Phil Hodgson. “Establishing Perdaman as our hydrogen partner is therefore an important milestone, adding engineering capability and hydrogen-sector expertise to the project. The partnership provides a clear pathway forward and brings us a step closer to demonstrating a globally leading solution for low-emissions iron production in Western Australia.”

“Perdaman’s vision to create a better tomorrow aligns perfectly with the Zesty project,” said Perdaman Founding Chairman and Managing Director, Vikas Rambal. “The world needs innovation in hard-to-abate industries and we’re proud to be part of this unique project that could transform the iron ore industry. We will bring our hydrogen expertise and delivery capability together to help make Zesty a global success.”

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