In order to work together and assess the development of substantial US green hydrogen production facilities, Fortescue Future Industries and Nikola have signed a memorandum of understanding.
Nikola, a possible off-taker, which has a high demand for green hydrogen to decarbonize the transportation sector and other industries, will support the supply of green hydrogen for any potential projects.
According to reports, FFI is the appropriate partner for Nikola in the prospective development of this project due to its extensive experience and capabilities in hydrogen project development.
The Australian-based iron ore miner Fortescue Metals’ subsidiary, FFI, is constructing a global portfolio of renewable energy, green hydrogen, and green ammonia projects as well as developing technical solutions for hard-to-decarbonize sectors.
According to the provisions of the MoU, Nikola will assess potential opportunities for green hydrogen offtake from other green hydrogen projects that FFI is pursuing. The parties will also analyze the possible development of new green hydrogen generation and associated infrastructure projects.
“FFI is leading the decarbonization activities for one of the largest resource companies in the world with an ambitious decarbonization strategy and related investment.
According to Nikola President and CEO Michael Lohscheller, “This MoU will build the platform for future collaborations as strategic partners for the possible development of relevant energy transition solutions, with a focus on the Phoenix Hydrogen Hub project being led by Nikola today.”