Multinational green technology, energy, and metals company Fortescue has placed their joint green hydrogen project  with Australian energy giant AGL on the back burner.

The project was announced in 2021 during a visit by Fortescue Chair Andrew “Twiggy” Forrest to the Liddell Coal Fired Power Station near Muswellbrook, NSW. The power station is owned by  AGL and is now closed.

Together, the two companies were to launch a feasibility study to explore a potential green hydrogen facility at the site.

Mr Forrest confirmed to ABC News Australia that “hydrogen plans at the Liddell site were no longer a priority for the company, and it will instead focus on four other hydrogen projects in Queensland, the United States, South America and Europe.”

Meanwhile, a spokesperson from AGL said that AGL remains committed to exploring options to produce green hydrogen and future fuels (including solar manufacturing and panel and battery recycling) at the Hunter site in the future “if economically feasible.”

ABC News quoted Tim Buckley, director of energy industry think tank Climate Energy Finance, as saying it was understandable why “FFI had backed away from the Liddell idea after conducting the feasibility study.”

Said Mr Buckley, “[The technology] is yet to be commercialised, and I say that in terms of production but more importantly in terms of international transportation. The cost of the transportation is prohibitive and it’s in fact not even commercially viable at this point in time and won’t be for another decade.”