Chile's GNL Quintero to produce green hydrogen at regas terminal
Chilean operator GNL Quintero has teamed up with Spanish companies Enagas and Acciona Energia to produce green hydrogen at its LNG regasification terminal at Quintero Bay in Chile's Valparaiso region, the companies said on August 19.
The partners plan to invest $30mn in the project, which would have a 10-MW electrolysis capacity and produce 500 metric tons of green hydrogen annually, helping to decarbonise industry in the bay area. The plant could be upscaled at a later stage.
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Commissioned in 2009, the Quintero facility is Chile's main regasification terminal, with an import capacity of 4mn mt/year. Enagas has a 60.4% interest in the plant, while Chile's state-owned ENAP has 20% and Oman Oil 19.6%.
In its national hydrogen strategy, Chile estimates it can expand its renewable energy capacity 70 times in order to produce green hydrogen to decarbonise its own industries and have significant spare supplies for export. Its green hydrogen production potential is 160mn metric tons/year, according to the International Energy Agency (IEA), with the government projecting that levelised costs will come down to around $1/kg of hydrogen by 2030. It sees the US, South Korea and Japan as key markets for this hydrogen overseas.