Australian billionaire Andrew Forrest, founder and chairman of Fortescue Metals Group, announced on November 7 that his Minderoo Foundation will invest US$10 million in the Forever Tropical Forests Fund (TFFF), a government-backed initiative paying for forest protection. But the company’s real focus is bigger: A $25 billion green hydrogen plant at Pecém port, Ceará.
Fortescue, a mining giant posting US$3.4 billion in net profit for fiscal 2025, could easily build the plant in Australia. Yet the company is looking to Brazil, drawn by cheaper labor, lower land costs, and abundant renewable energy. Regulatory hurdles are also less burdensome, making Brazil a more efficient launchpad for its green-hydrogen ambitions.
Despite massive profits, Fortescue has scrapped plans for U.S. and Australian hydrogen plants, signaling that strategic cost advantages outweigh domestic pride. The Pecém project has preliminary environmental approval, though final investment decisions are still pending.
Timeline
- The project is currently in the pre‑feasibility or feasibility stage (“scoping” according to Fortescue). (Global)
- In 2023 the Environmental Impact Study (EIA) was submitted and a Preliminary Licence (LP) was obtained. (Global)
- Earth‑moving / site preparation was slated to begin by end of 2024 (assuming schedules hold) per reporting. (DatamarNews)
- Operations have been indicated to start around 2027–2030. (Hydrogen Industry Leaders)
Job Creation
- During the construction/implementation phase the project is expected to create “up to 5,000 jobs”. (DatamarNews)
- On‑going operational job numbers are less clearly specified; one earlier estimate (2021 MoU stage) suggested about 800 jobs once in operation. (h2bulletin.com)
Fortescue’s R$25 billion green hydrogen project at Pecém port is projected to inject approximately R$50–60 billion into the Brazilian economy over the next decade. This estimate includes the direct capital investment, thousands of jobs created during construction and operation, and the ripple effects across local supply chains and service industries. The project is also expected to boost Brazil’s renewable energy infrastructure, increase export revenues from green hydrogen, and attract further industrial development in the region. By combining strategic investment with Brazil’s cost advantages, Fortescue is positioning the country as a key hub in the global green hydrogen market while generating substantial economic activity at home.
With Brazil offering a rare combination of competitive costs and logistical advantages, Fortescue is setting its sights south, proving that even billion-dollar companies chase efficiency over geography.
