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Xodus allocated land at Oakajee to develop renewable hydrogen project in Western Australia

28 May 2025

Global energy consultancy Xodus has been allocated land in the Mid-West region of Western Australia to underpin the development of a commercial scale green hydrogen and ammonia development.

Located in the Oakajee Strategic Industrial Area (SIA), this allocation from the Government of Western Australia paves the way for Xodus and its partners to progress the project, formerly known as Project MercurHy, under the Warradarge Energy banner.

First announced in 2022, the project will be executed in two primary phases, initially focusing on domestic hydrogen supply to decarbonise the mining and heavy transport sectors.

There is an ambition to scale the development further into an ammonia export project located at the Oakajee SIA.

The initial phase is well advanced, with over 16,000 hectares of land secured at Warradarge, power supply agreements with an existing wind farm under negotiation and offtake partners onboard.

The project also benefits from a competitively priced, behind-the-meter renewable power supply, high plant utilisation and a high comparative market price.

Simon Allison, VP – Asia Pacific at Xodus and Strategic Advisory Board Member at Warradarge Energy, said: “This is a major step forward, not just for Warradarge Energy, but also in Australia’s quest to be one of the world’s dominant clean hydrogen players.

“Xodus has played a central role in the technical and commercial development of the project, overseeing feasibility, concept design, approvals and the integration of renewable energy sources.

“We have worked hand in glove with the Warradarge Energy team, as well and industry partners and landowners to ensure we are delivering a development underpinned by a robust and scalable hydrogen supply chain.”

Australia has an ambition to be a global hydrogen leader, and the market is currently valued at over $225 billion, with more green hydrogen projects under development in the country than anywhere else.

Last year the Australian Government announced it would pay eligible producers a hydrogen production tax incentive (HPTI) of $2 per kilogram under the Future Made in Australia legislation. The incentive is available to renewable hydrogen producers for up to 10 years, between 1 July 2027 and 30 June 2040.

Stephen Archer, CEO Warradarge Energy said: “Scalable, high-quality renewable energy projects like ours are needed to bridge the gap between today’s demonstration sized facilities and the gigawatt-scale hydrogen developments of the future. This project is about accelerating the supply chain, minimising technology risks, and driving down costs.

“It’s an exciting venture that we’ve built from the ground up, bringing in the right partners to achieve collective success. With our expertise, we’re actively designing and delivering the low-carbon, economically viable projects that Australia and the world need now more than ever.”
 

Xodus Group Limited

As a global energy consultancy, we unite our unique and diverse people to share knowledge, innovate and inspire change within the energy industry. We provide support across the energy spectrum, from advisory services to supply chain advice, including all engineering and environmental expertise in between. We strive to ensure global energy supply is maintained as we work together to realise a net zero world. As we progress through the energy transition, Xodus continues to deliver high quality, fit for purpose solutions to the industry, no matter the energy challenge. The key sectors we provide energy services includes oil and gas, offshore wind, carbon capture, utilisation and storage, cables and interconnectors, hydrogen and marine energy. As an active participant of the United Nations Global Compact (UNGC), we champion responsibility across everything we do, and promote others do the same. We believe, together, we will deliver a responsible energy future.

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