India's Adani to build three million mt/yr renewable Gujarat hydrogen plant

India's Adani group still has plans to build a three million mt/year renewable hydrogen plant in Gujarat despite TotalEnergies putting its partnership on hold, CFO Robbie Singh said in a recent call with analysts, a transcript of which was published Aug. 11.

The logistics to mining conglomerate committed $70 billion to its new energy strategy in 2021. In 2022 TotalEnergies agreed to buy a 25% stake in subsidiary Adani New Industries, but on Feb. 8 put the acquisition on hold.

"The capex plans do not alter for an asset like green hydrogen," Singh said, adding the plant would be a "full three million mt facility [at a cost of] approximately $50 billion as we have outlined [previously]... so that plan continues forward as it is."

Project investment this year of $300 million-$400 million would rise rapidly in 2024 and 2025, Singh said.

Adani hydrogen capacity in Gujarat state was a major part of a hub with upstream and downstream operations, according to a presentation at the group's annual general meeting July 18.

The renewable hydrogen will be used in the special economic zone of Mundra, focused on ammonia and urea users, and be transported via a pipeline, it said.

Singh said integration was continuing with silicon ingot and solar wafer manufacturing under development and a wind technology facility moving to the commercial production stage.

For an integrated electrolyzer manufacturing facility, meanwhile, "all the agreements in relation to the technologies are in place and we expect sometime towards the end of this quarter or early in the third quarter to start development and construction work," he said.

A memorandum of understanding with TotalEnergies still existed with the French company needing to complete due diligence, Singh said.

The renewable hydrogen project, however, was "not dependent on that equity as we are going ahead with the project as it is and at the same pace," he said.

A report Jan. 24 by Hindenburg Research accused Adani Group of stock manipulation and improper use of tax havens. In March, India's Supreme Court directed a committee to look into any regulatory failures by the group, which has denied the allegations.

Platts, part of S&P Global Commodity Insights assessed Qatar hydrogen produced via alkaline electrolysis (including capex) at $2.61/kg Aug. 11, little changed month on month.

It assessed Japan hydrogen produced via alkaline electrolysis (including capex) at $4.65/kg Aug. 11, down 5% month on month.