The Conversation (0)
Frontier Energy (ASX:FHE, OTCQB:FRHYF) is perfectly positioned to potentially become not only a key part of Western Australia's energy solution in the immediate future but also benefit from what is forecasted to be record-high energy prices.
Frontier Energy, a near-term, fully integrated renewable energy and hydrogen developer, will be able to meet the market’s urgent requirement for energy with the development of their Stage One (120MW) solar project to commence construction in 2024.
Frontier's Bristol Springs Renewable Energy and Green Hydrogen project is on track to commence construction of Stage One solar development in 2024. The 868-hectare project is located on flat, predominantly cleared freehold land which is just 3.5 kilometres from the Landwehr Power Terminal. The company is working on a proposed acquisition of Waroona Energy for which it has already signed a Letter of Intent that will provide Frontier with a unique, accelerated turnkey solution for the development and consumption of green hydrogen courtesy of Waroona's proposed 120 MW dual fuel peaking plant, potentially positioning Frontier as the leading developer of green hydrogen in the country.
Company Highlights
- Frontier's flagship project, Bristol Springs, has access to world-class infrastructure which considerably reduces both upfront capex and its overall development timeline.
- The acquisition of Waroona Energy will serve as a capstone on Frontier's development strategy, adding 355 MW of solar power generation with the capacity to expand up to 1 GW.
- The company is expected to generate major news flow as it moves towards FID on multiple development opportunities in 2024.
- These are the strongest ever market conditions for both renewable energy and hydrogen deployment. A near-term, fully integrated renewable energy and hydrogen producer, Frontier Energy is ideally positioned to benefit from these conditions.
- The South West Interconnected System, Western Australia's primary power grid and energy market, is in dire need of investment in new electricity generation.
- The current demand forecast over the next decade ranges from 78 percent to 220 percent. Meeting this demand will be even more challenging given that the State intends to close all coal-fired power capacity, which currently accounts for roughly 30 percent of power generation, by 2030.
- SWIS currently generates only 35 percent of its power through renewables, far below the Australian government's target of 82 percent.
- The company has a three-pronged development strategy, beginning with the establishment of solar infrastructure as a foundation followed by the planned construction of a dual-fuel hydrogen peaking plant and entry into the green hydrogen market.
- Frontier's end goal is to develop a scalable renewable energy hub which will create long-term sustainable value and provide a significant contribution to both the State and Federal decarbonisation strategy.
This Frontier Energy profile is part of a paid investor education campaign.*
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