Fortescue Launches Its First U.S. Green Hydrogen Production Facility In Buckeye

BUCKEYE, AZ (May 3, 2024) –  Fortescue marked a new phase in the development of the company’s $550 million venture into green hydrogen production in the United States, the first of Fortescue’s planned green energy investments in North America with a soil turn ceremony and renaming of our green hydrogen facility in Buckeye, Arizona to Arizona Hydrogen.

On May 2, Fortescue Executive Chair and Founder Dr. Andrew Forrest AO was joined by local government, economic development and community leaders including Gila River Indian Community Governor Steven Roe Lewis, Sandra Watson, President and CEO of the Arizona Commerce Authority and Buckeye Mayor Eric Orsborn.

At the 158-acre facility site, Dr. Forrest praised the Biden Administration’s commitment to the energy transition, but cautioned there is more work to be done.

“The U.S. has made serious strides in attracting global investment in green hydrogen and decarbonization projects, like Fortescue’s solar and wind-powered Arizona Hydrogen facility. Fortescue is unashamedly a first-mover in this space, the world needs us to move quickly,” Dr. Forrest said.

“I am hopeful that the Biden Administration will continue supporting the growth of the green hydrogen industry, particularly as they work to finalize the 45V green hydrogen tax credits. The current Treasury rules limit project opportunities, create investment risk, and significantly increases costs for green hydrogen production. Fortescue shares the Biden Administration’s ambitious climate goals, and hopes the Treasury will ensure early movers like Fortescue can continue investing and creating jobs here in the U.S.”

According to new economic data from NDP Analytics, during the two-year construction phase, Arizona Hydrogen has the potential to create up to 2,244 direct, indirect, and induced jobs that could earn $124.2 million in wages. The facility could add $187.8 million to Arizona’s GDP and generate a potential $31.7 million in income and sales taxes for state and local governments.

During the operation phase, Arizona Hydrogen is expected to employ 40 people at the facility itself, as part of a potential 431 direct, indirect, and induced jobs that could earn $29.3 million in wages. Arizona Hydrogen could also add $59.2 million to Arizona’s GDP, and generate $9.1 million income and sales taxes for state and local governments annually.

"In recognizing and honoring the traditional lands of the Akimel O’otham and Pee Posh people, we have a profound connection and shared responsibility as stewards of the earth. Companies like Fortescue are helping to pave the way for a more sustainable and equitable future for our generations to come,” said Stephen Roe Lewis, Governor of the Gila River Indian Community.

“Today is an exciting milestone for the future of Arizona’s clean energy economy,” said Sandra Watson, President and CEO of the Arizona Commerce Authority. “Arizona Hydrogen strengthens Arizona’s position as a national sustainability leader at the forefront of clean energy technologies and innovation. We are grateful to Dr. Forrest and the entire Fortescue team for their commitment to Arizona, and we look forward to supporting Fortescue’s long-term success in Buckeye.”

“Buckeye is happy to welcome Arizona Hydrogen to the Sustainable Valley,” said Buckeye Mayor Eric Orsborn. “Fortescue’s investment in our community helps Buckeye, and the entire state of Arizona, continue to grow efficiently and sustainably for generations to come.”

Arizona Hydrogen is slated to produce up to 11,000 tons of liquid green hydrogen annually and is strategically positioned to significantly contribute to the decarbonization of the heavy-duty on-road transportation sector. The southwest market consumes approximately 5 billion gallons of diesel annually in heavy-duty transport, making PHH a vital player for reducing emissions in the mobility sector.

Photos from the soil turn ceremony can be accessed HERE and b-roll HERE.

Media Contacts
Stephanie Genco, Fortescue, [email protected]

Alyssa Tufts, Arizona Commerce Authority, [email protected]

Annie DeChance, City of Buckeye, [email protected]

About Fortescue
Fortescue is focused on becoming the number one integrated green energy, metals and technology company, recognized for its culture, innovation and industry-leading development of technology, infrastructure and green energy initiatives. Fortescue is leading the green industrial revolution, building a global portfolio of renewable green hydrogen and green ammonia projects and green technology solutions, while also leading the global effort to help decarbonize hard-to-abate sectors, including our own operations by 2030 (Scope 1 and 2 terrestrial emissions). Our focus in the US is building the green energy supply chain, investing in zero-emission resources to produce renewable energy at a scale equal to the oil and gas industry. For more information, please visit fortescue.com.

About the Arizona Commerce Authority
The Arizona Commerce Authority (ACA) is the state's leading economic development organization with a streamlined mission to grow and strengthen Arizona's economy. The ACA uses a three-pronged approach to advance the overall economy: attract, expand, create - attract out-of-state companies to establish operations in Arizona; work with existing companies to expand their business in Arizona and beyond; and help entrepreneurs create new Arizona businesses in targeted industries. For more information, visit azcommerce.com and follow the ACA on Twitter @azcommerce.