November 28, 2024 [Renewables Now]- Chilean liquefied natural gas terminal operator GNL Quintero announced on Tuesday that it has obtained environmental approval to set up a 10-MW electrolysis system and produce green hydrogen for industrial customers in the Valparaiso region, central Chile.

The company developed the project with Spanish renewables firm Acciona Energia preparing to invest USD 30 million (EUR 28.5m). The Chilean state also threw its support, awarding the project a subsidy of USD 5.7 million in the 2021 call for green hydrogen proposals.

The green hydrogen production plant will be located at GNL Quintero’s terminal in Quintero Bay. Water for the electrolysis will be sourced from the terminal’s existing sanitary network, while electricity will be contracted from a certified grid-connected renewable energy source, the terminal operator said.

The plant will produce 1,600 tonnes of hydrogen annually, bound for customers in the Quintero-Puchuncavi bay industrial park and other companies in the central part of Chile, supporting their transition to cleaner energy.

GNL Quintero said that it has made progress in other areas of the project during environmental permitting, working on the engineering details, choosing the electrolyser and finding customers for the hydrogen. If the investment conditions permit, the company hopes to start building and testing next year.

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