(Reuters) – Fortescue Metals Group, (OTC) Ltd’s green power unit announced on Thursday that it purchased a 60% share in Dutch-based Renewable firm High yield Energy Technologies Group in a bid for cutting costs and increasing green energy production.

Fortescue Future Industries is part Fortescue Metals plan to be the first global major supplier of green iron. It aims to provide 15 million tonnes green hydrogen worldwide by 2030.

Fortescue Metals (the world’s fourth largest producer of iron ore) is making some ambitious green initiatives. This includes its plans to diversify into green energy through FFI, and also green hydrogen.

FFI chief executive officer Julie Shuttleworth said that HyET Hydrogen’s technology would help FFI to reduce costs in the supply chain.

FFI expects to lower costs in its Powerfoil Australian factory due to the purchase. It plans to spend $400 million to $600 million on green transport development and decarbonization technologies in the 12 months to June 2022.

FFI will finance a major portion of HyET Solar’s Dutch Solar photovoltaics plant expansion as part of this deal. The financial terms of the acquisition did not become public.