TotalEnergies Eyes Green Hydrogen from $5 Billion Brazil Project for Refineries
Key Ideas
  • TotalEnergies considers importing green hydrogen from a multi-billion dollar project in northeastern Brazil for European refineries, potentially reducing carbon emissions.
  • The project by Casa dos Ventos aims to produce 160,000 tons of green hydrogen per year and 900,000 tons of green ammonia, boosting Brazil's low-carbon hydrogen industry.
  • Brazil passed a law offering tax exemptions to encourage investment in green hydrogen, positioning itself to become a major player in the global green hydrogen market.
  • TotalEnergies' shift to green hydrogen is driven by EU's greener standards, with the company planning to replace 500,000 tons of gray hydrogen with green hydrogen by 2030.
TotalEnergies SE is exploring the possibility of sourcing green hydrogen from a large-scale project in northeastern Brazil to supply its European refineries, marking a significant step towards reducing carbon emissions. The project, led by Brazilian renewables developer Casa dos Ventos, has the potential to produce 160,000 tons of green hydrogen and 900,000 tons of green ammonia annually, contributing to the growth of Brazil's low-carbon hydrogen industry. TotalEnergies' interest in green hydrogen aligns with the European Union's push for greener standards, with plans to replace 500,000 tons of gray hydrogen with its green counterpart by 2030. Brazil, aiming to attract investments and establish itself as a key player in the global green hydrogen market, recently introduced a law offering tax exemptions for green hydrogen projects. The project at the port of Pecem in Brazil represents a substantial investment of around $5 billion and is expected to leverage 3 gigawatts of wind and solar power to produce green hydrogen. This initiative could position Brazil as a major exporter of green hydrogen, with the potential for other energy companies to establish similar facilities in the region. With Casa dos Ventos' plans to make Pecem a flagship location for green hydrogen exports, the project signifies a strategic move towards a more sustainable energy future. The anticipated completion of the factory in 2029 and the investment in renewable energy infrastructure highlight the country's commitment to fostering a low-carbon economy and propelling the green hydrogen industry forward.
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