Energy transition

Feasibility study development 200-500 MW of green hydrogen in Chile

13 May 2022
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GASCO, HyNewGen, Linde, Vopak, and Port of Rotterdam are concluding a feasibility study for the development of a 200 to 500 MW green hydrogen project in Chile (Project TANGO), based on a Memorandum of Understanding signed in July 2021.

The next steps in Project TANGO involve conceptual studies on the production and logistics capabilities to export to Europe, with an initial delivery of 172,000 tons of green ammonia a year starting in 2027, and a second production phase of 430,000 tons per year.

hydrogen plant

As countries and companies work committed toward the climate goals for 2030 and 2050, the need for diversification of clean energy sources is becoming critical. Green hydrogen is seen as an essential element of the future renewable energy mix. Demand for green hydrogen is growing around the world, and Northwestern Europe is rapidly developing the necessary infrastructure for large-scale imports. South America ́s vast land and exceptional natural resources provide the opportunity to exponentially grow the renewable energy supply and meet the growing needs around the globe.

Strategic Supply Location

Chile is home to some of the most exceptional natural resources on the planet. With the highest solar radiation in the desert in the north and strong and constant winds in the south, the country has the potential to become one of the cheapest producers of green hydrogen around the globe.

The country-wide presence and well-established trajectory of the local partner provide the strength to develop a project in a sustainable and integrated manner with the industry, communities, academia, and social environment in the region.

Green Hydrogen and Ammonia Market

Demand for green hydrogen is growing in the energy sector, the transport sector, and the petrochemical industry. Green ammonia becomes an efficient, economical, and safe carrier to transport green hydrogen from competitive geographies. The Netherlands is committed and has started efforts to develop import terminals of green hydrogen and derivatives to meet the future demand of the country and Northwest Europe.

Joining Forces

Gasco has been providing energy solutions across the country for over 165 years, with one of the largest gas supply and commercialization networks in Chile. HyNewGen ́s highly experienced team developed, in 2009, one of the first hydrogen pilot projects in the world, located in Argentina.

Linde has the technologies, expertise, and reach to unlock the massive potential of hydrogen, with around 260 hydrogen projects around the world. Vopak, with six ammonia terminals around the world, has extensive experience in the safe storage of ammonia. Together with HES International and Gasunie, Vopak is developing an import terminal (ACE Terminal) for green ammonia in the Port of Rotterdam.

Port of Rotterdam operates the largest energy port in Europe, handling over 13% of the energy that is being used in Europe annually.

By joining forces, the companies have kicked off studies on Project TANGO to develop the green hydrogen corridor from Chile to Europe. The eventual investment decision still has to be taken and will be based among others on customer contracts, the necessary permits and private and public community participation.