Austrian Developer's US$11 Billion Green Ammonia Project in Chile's Magallanes Region
Key Ideas
  • Austrian developer AustriaEnergy submitted an US$11 billion green ammonia project for environmental review in Chile, marking a significant milestone in the green hydrogen sector.
  • The HNH Energy project in the Magallanes region is planned to have a production capacity of 6,600t/d of green ammonia and includes components such as a desalination plant, pipelines, and a port.
  • Chile's abundance of renewable energy resources makes locally produced green ammonia competitive, with over 65 hydrogen projects announced in the country, focusing on both domestic and export markets.
  • The entrance of HNH Energy brings the total number of green hydrogen sector projects under review in Chile to six, reflecting the growing interest and investment in the zero-carbon fuel industry.
AustriaEnergy, an Austrian developer, has submitted an US$11 billion green ammonia project, known as HNH Energy, for environmental review in Chile. This project, located in the windswept Magallanes region, is set to become a significant player in the green hydrogen sector. Green ammonia is produced by combining green hydrogen with nitrogen and is considered a promising zero-carbon fuel and industrial feedstock. With a planned production capacity of 6,600t/d, the HNH Energy project includes various components like a desalination plant, pipelines, and a port. The construction is expected to start in July 2026 and last for six years. The project's location in San Gregorio district, about 120km northeast of Punta Arenas, is strategic for its operational life of 50 years. The entrance of HNH Energy into Chile's system elevates the total number of green hydrogen sector projects under review to six, indicating the increasing interest in sustainable energy solutions. The project is praised for its potential to leverage Chile's renewable energy resources, making locally produced green ammonia competitive in the market. Challenges remain in driving down costs and securing solid offtake contracts, but the momentum in the sector is promising for the future of green ammonia production in Chile.
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