GMP's staged heat recovery project: what it has delivered

Partnering with AMPC and refrigeration solution specialists Hoctor, GMP has demonstrated significant reductions in natural gas consumption can be achieved by recovering waste heat from existing refrigeration systems using commercially-available technology.
The project has shown that meaningful energy savings, improved refrigeration performance and reduced emissions can be realised without major disruption to plant operations.
The GMP case study was a highlight of the 2026 Australasian Renewable Heat Conference in Melbourne, where GMP plant manager Peter McDonald and Hoctor Refrigeration's Eujin Tan presented the work. AMPC sustainability manager Matthew Deegan was also on hand answering questions not just from other red meat processors but from a range of industries interested in the innovative approach.
Rather than relying on a single large capital investment, the project demonstrates how passive heat recovery can be progressively expanded to maximise the utilisation of available waste heat before introducing an industrial heat pump for the final temperature lift.
The family-owned NSW lamb processor has introduced the first stage of a waste-heat recovery system that captures energy from its refrigeration condensers and compressor oil coolers. The recovered heat is now used to preheat water required for sterilisation, sanitation and cleaning.
Since the system began operating, controlled on-and-off testing has shown an average natural gas reduction of 30 gigajoules a day. This represents an overall reduction of about 32 per cent and estimated annual gas savings of 7,530 gigajoules.
At the representative gas price used in the project analysis, the reduction is expected to save approximately $135,500 a year, or about $540 for each operating day. When reduced condenser electricity, water use and wastewater discharge are also considered, combined operational savings are estimated at approximately $150,800 a year.

New approach
Established by the Barton family in 1974, GMP processes around a million sheep and lambs annually, equivalent to approximately 25,000 tonnes of hot standard carcase weight. It employs around 350 full-time-equivalent staff and exports to about 20 countries.
The facility operates a medium-sized ammonia refrigeration system alongside gas-fired hot-water generation.
Before the heat-recovery project, its two-megawatt boiler was regularly operating at or above capacity. The challenge was particularly apparent during winter, when incoming water could be approximately 15 degrees Celsius and had to be heated to a sterilisation temperature of 82°C.
Maintaining that temperature could be difficult and occasionally interrupted production, Mr McDonald said. At the same time, the business faced an estimated $400,000 cost to upgrade to a 2.5-megawatt boiler, while its gas price had increased by 50pc.
Rather than continuing to add boiler capacity without improving energy efficiency, GMP investigated how energy already available within the plant could be reused.
Mr McDonald said it wasn't until GMP dived deep into the project that the full extent of the opportunity, and indeed the support available, became clear.

Capturing heat in stages
The project is based on a staged approach in which each rise in water temperature reduces the amount of energy required at the next step.
The first operational staged design uses an isolated, closed-loop water circuit. Plate heat exchangers, continuous pH monitoring, automated alarms and independent isolation valves are used to keep process water separated from refrigeration fluids.
The next stage could recover additional heat from the compressed-air system, lifting the water temperature to approximately 54°C. A proposed industrial heat pump could then raise it to about 88°C.
By capturing passive sources of heat first, the facility can reduce the capacity, capital cost and running cost of any future heat pump, Mr McDonald said.

Benefits beyond the gas bill
Site results show the project is providing benefits across several parts of the operation.
The recovery system acts like an additional condenser by removing heat from hot ammonia gas. GMP estimates that this provides the equivalent of roughly 400 kilowatts of additional condenser capacity.
The facility has also reported improved boiler operation. Instead of running continuously at high fire, the boiler now cycles more steadily between high and low fire.
Mr McDonald said the system required very little attention.
The project also identified $96,000 in avoided condenser-capacity costs. Together, these avoided costs total about $496,000, Mr McDonald said.

Looking ahead
The $450,000 cost will likely be paid back in three years, based only on utilities costs.
When potential energy-efficiency certificates are included, the estimated payback falls to about two years.
Future stages are forecast to generate an additional $123,000 in annual savings, including approximately $15,000 from compressed-air heat recovery and $108,000 from the industrial heat pump.
For red meat processors facing rising energy prices, production growth and ageing infrastructure, the Gundagai project highlights the value of examining wasted energy before investing in larger conventional equipment, Mr Deegan said.
"Its central lesson is straightforward: heat recovery can be implemented progressively, allowing processors to secure immediate savings while preparing their sites for further electrification and efficiency improvements," he said.
Read the full report on this project here.

Red meat processing decarbonisation
The Australian red meat processing sector faces increasing pressure to reduce GHG emissions in response to national climate targets, evolving regulatory frameworks and growing market expectations for low-emission products.
A key focus at AMPC is finding solutions to enable this pathway.
See the latest analysis of emission reduction pathways for the sector here.