Chilean government awards $50 million for key green projects

Click to learn more about the new government funding for Chilean green hydrogen & ammonia projects (Spanish language).
Click to learn more about the new government funding for Chilean green hydrogen & ammonia projects (Spanish language).

CORFO – Chile’s state-owned economic development agency – announced that US$50 million would be spread across six key green hydrogen projects, with the aim of attracting foreign investment and fast-tracking the start of green hydrogen production (Spanish language). The funding for each project contributes directly to the purchase and installation of 10 MW electrolysers, which must be operational by 2025 at the latest.

The selected projects are aimed at the production of green hydrogen, from which some will produce derivatives or energy carriers such as methanol and ammonia. This will allow us to diversify the use of hydrogen and thus take advantage of the enormous potential that Chile has in renewable energies, both in the north and in the extreme south of our country…with these projects, by 2025 Chile will be producing, from green hydrogen, fuels such as methanol and green ammonia.

(translated from Spanish) Chile’s Minister for Energy and Mining Juan Carlos Jobet in the Ministerio de Energia’s official press release, 28 Dec 2021

Among the projects a number of key ammonia energy players are represented (Enel, Linde, ENGIE, Enaex, Air Liquide), and a wide range of applications is represented, including oil refining, industrial feedstocks, e-fuels, steel making and…

Mining explosives

Of particular interest to our readers is the HyEx project in Antofagasta, where explosives manufacturer Enaex have agreed to off take green hydrogen from ENGIE’s to-be-built plant to produce green ammonia (and ultimately ammonium nitrate explosives for use in the mining industry). Enaex currently import 100% of their ammonia requirements for explosives production in Chile. The pilot stage of the plant will feature 26 MW of electrolysers, producing 3,000-plus tonnes of green hydrogen per year (ie. 15,000-plus tonnes green ammonia). If the pilot is successful, HyEx will expand to a 700,000 tonnes per year green ammonia project, with some green ammonia product to be exported to other markets.

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