The agreement has already been signed by industry heavyweights including Rio Tinto and Orica, which will investigate decarbonising their own operations such as smelting and explosive manufacturing using green ammonia and hydrogen.

Stanwell has traditionally owned the majority of large-scale coal-fired power plants in Queensland, however, it is also a partner alongside Acciona developing the largest solar project in the state.

The Acciona project will use solar to create green hydrogen for export and domestic electricity generation.

By signing onto the statement of cooperation, the Stanwell will double-down on future hydrogen generation.

Stanwell chief executive Michael O'Rourke said the company had been developing strategic partnerships across the supply chain to support the development of Queensland's renewable energy future.

"We want to provide low emissions solutions to commercial and industrial retail customers by developing a high-quality, value-for-money pipeline of renewable energy projects and this the Statement of Cooperation will help us achieve that goal," O'Rourke said.

Details on exactly what role Stanwell will play in the Central Queensland region are yet to be announced.

However, it can be reasonably assumed Stanwell will be a key offtake partner for future hydrogen projects and play an important role in the development of hydrogen production assets and infrastructure.

Stanwell has been planning its transition away from coal for some time.

However, while it notes its future is not defined by coal-fired generation, it also says the transition to hydrogen and renewables will be supported by it.