HIF Global has confirmed plans to develop a major e-fuels facility at the former Burnie Paper Mill site in Tasmania, Australia, marking a significant step for the island state's renewable energy ambitions.

The facility is expected to produce more than 200,000 tonnes of e-methanol annually, create hundreds of construction roles, and around 200 permanent jobs once operational. HIF said the project will help position Burnie as a hub for Australia's emerging green fuels industry.

Originally announced in 2022, the project was initially planned for Hampshire, 30 kilometres south of Burnie. After reviewing engineering, design and access options, the company selected the historic pulp mill site due to its industrial heritage, deepwater port access and potential to utilise local resources such as recycled wastewater.

Ignacio Hernandez, chief executive of HIF Asia Pacific, said the location would bring long-term jobs back to Burnie while ensuring efficient use of renewable inputs. Tasmanian officials also welcomed the project, describing it as a golden opportunity for the town to lead in a new energy sector.

HIF Asia Pacific intends to submit a formal Notice of Intent to the Tasmanian Environmental Protection Agency in the coming weeks, with operations targeted to commence as early as 2026.

The facility will use renewable electricity to power electrolysers that produce hydrogen, which will be combined with captured carbon dioxide to create e-methanol. This synthetic fuel can be used in shipping and aviation or as a feedstock for chemical manufacturing.