The Fortescue Metals Group Limited (ASX: FMG) share price is up 1.4% as we head into the lunch hour.
That's in line with the broader rally we're seeing with S&P/ASX 200 Index (ASX: XJO) iron ore stocks today.
The Fortescue share price closed yesterday at $21.45. Shares are currently changing hands for $21.75 apiece.
That's Wednesday's market action for you.
Now, here's the latest development with Fortescue's green hydrogen ambitions.
A $593 million green hydrogen plant
In an ambitious project that could potentially boost the Fortescue share price longer-term, South Australia is forging ahead with its plans to splash $593 million on a green hydrogen plant.
As The Australian Financial Review reports, the plant, located in Whyalla, is slated for completion by December 2025. The rapid pace of development is intended to give the state and its yet to be determined operator "first mover" advantage.
On completion, the project will deliver a 250-megawatt hydrogen production facility, a 200-megawatt hydrogen power plant as well as a hydrogen storage facility.
The project sounds almost tailor-made for Fortescue's green arm, Fortescue Future Industries (FFI).
Indeed, FFI is believed to be -among several prospective companies to put in a bid to develop the project.
A spokesman for FFI did not confirm whether or not the company had submitted a bid.
However, they did say (quoted by the AFR):
FFI believes South Australia has a great opportunity to be a leader in renewable energy production. South Australia has an abundance of readily available natural resources for a renewable energy industry, including some of the best wind and solar resources in the country.
The spokesman added that South Australia's government is "proactive in setting ambitious but achievable targets for a renewable and green hydrogen industry".
Fortescue share price snapshot
As you can see in the chart below, the Fortescue share price has been a strong performer over the past 12 months, up 27%.
