Startup Universal Hydrogen in Supply Deal With Fortescue Unit

(Bloomberg) -- Universal Hydrogen reached a deal to purchase green hydrogen from Fortescue Future Industries, the clean-energy arm of Australian iron-ore giant Fortescue Metals Group Ltd.

The memorandum of understanding covers hydrogen for regional aviation through 2035, according to a statement Tuesday, during the COP26 climate summit in Glasgow. FFI will also study developing green hydrogen production and logistics hubs in Iceland, New Zealand and southeast Queensland, Australia,  with a goal of stimulating uptake. 

The deal provides Los Angeles-based Universal Hydrogen with a hardy ally as it seeks to promote a planned network of hydrogen fuel-cell depots to airports, regional airlines and builders of next-generation aircraft. FFI is joining forces with one of the higher-profile attempts to establish the infrastructure for carbon-free flight. 

The deal will also help support the entry into service of a hydrogen-powered single-aisle aircraft -- which are bigger than regional planes -- in the 2030s, Universal Hydrogen CEO, Paul Eremenko said in the statement.

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