Green hydrogen and Latin America’s energy transition
The AmericasEnergyEconomic News28 Jul 2022
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– Amid the energy transition, Latin American countries are investing in hydrogen
– The fuel is seen as a potential solution for energy, food and environmental crises
– With abundant natural resources, Latin America is eyeing exports to Europe and Asia
– While investment is ramping up, most mega-projects target 2030 for completion
With countries and energy companies around the world looking to accelerate their transitions towards cleaner energy resources, Latin American nations are developing plans to scale up the production, consumption and export of so-called green hydrogen, which is generated from clean energy resources.
One of the most recent, high-profile developments came in June, when the Argentine province of Tierra del Fuego – located at the southernmost tip of South America – outlined plans to develop a hydrogen and ammonium industry.
The province is attempting to utilise the region’s ample wind resources to attract $6bn in investment in technologies to produce the fuel. This includes investment in wind farms to generate electricity that can be used to power electrolysers, which remove oxygen atoms from water to produce hydrogen.
Once established, some of the project’s hydrogen will be used to make ammonium, which in addition to being used to create fertiliser, can also serve as a carrier fuel for transporting hydrogen through pipelines to downstream markets.