FFI and Covestro sign hydrogen supply deal

Polymer manufacturer Covestro wants deliveries of green hydrogen in three regions to meet decarbonisation targets

Australian energy firm Fortescue Future Industries (FFI) has signed a preliminary deal to supply German materials manufacturer Covestro with 100,000t/yr of green hydrogen. The deal is non-binding, but the firms hope to formalise it into a concrete supply arrangement when possible. Covestro uses grey hydrogen as a feedstock in the manufacture of advanced polymers. The firm has committed itself to completely transition towards the use of fossil-free raw materials. The finalised deal could reduce the firm’s CO₂ emissions by 900,000t/yr. A recent report released by non-governmental organisation Beyond Plastics suggests plastics will release more greenhouse gas emissions than coal plants in the U