SYDNEY - Australia and Germany on Friday signed a multi-million dollar deal to deepen cooperation on new green hydrogen supply chains, the German Press Agency (dpa) reported.

Equally funded by the governments of both countries, the deal, worth US$445 million, will guarantee European buyers for Australia's renewable hydrogen producers.

Australian Minister for Climate and Energy Chris Bowen said renewable hydrogen was key to Australia's 21st-century export prosperity. "The world needs it. We can make it. And we can ship it to our partners or use it to make green products, chemicals, and fuels in Australia to export to the world," he added.

Green hydrogen is produced with the help of wind or solar energy, and the German government regards it as one of the main energy sources of the future.